Tax docs

gistfile1.txt

# tax stuff
https://medium.com/@davissenseman/tax-simplification-take-three-211b7cd319f7
Under existing tax code, an individual who currently makes $200,000 would pay 35% tax on the amounts over $191,650, 33% tax on the amounts over $91,900, 25% tax on the amounts over $37,950, 15% tax on the amounts over $9325 and 10% tax on the first $9324 of earnings.

old 5 = (200000-191650) *.35 => 2,922.5
old 4 = (191650-91900) *.33 => 32,917.5
old 3 = (91900-37950)*.25=> 13,487.5
old 2 = (37950-9325)*.15 => 4,293.75
old 1 = 9324*.1=> 932.4
old tax = old 5 + old 4 + old 3 + old 2 + old 1 => 54,553.65

Under the proposed House bill, an individual who makes $200,000 when the new rates begin would pay 25% tax on the amounts above $45,000 and 12% tax on the first $44,000 of earnings.

house 2 = (200000 - 45000) * .25 => 38,750
house 1 = 45000 *.12 => 5,400

house = house 1 + house 2 => 44,150

savings = old tax - house => 10,403.65


Under the proposed Senate bill, an individual who makes $200,000 when the new rates begin would pay 32% tax on the amounts above $160,000, 24% tax on the amounts above $70,000, 22% tax on the amounts above $38,700, 12$ tax on the amounts above $9525 and 10% tax on the first $9525 of earnings.

senate 5 = (200000-160000) * .32 => 12,800
senate 4 = (160000-70000) * .24 => 21,600
senate 3 = (70000-38700)*.22 => 6,886
senate 2 = (38700-9525)*.12 => 3,501
senate 1 = 9525 * .1=> 952.5
senate = senate 5+senate 4+senate 3+senate 2+senate 1=> 45,739.5


old tax => 54,553.65
senate => 45,739.5
house => 44,150

gistfile2.txt

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Eternity Accountants provides reliable accounting and tax support for UK businesses, helping with bookkeeping, VAT, payroll, Self Assessment, Corporation Tax, and business tax planning. Having experienced professionals manage your finances allows you to stay compliant with HMRC and focus on growing your business.