I found it interesting that Corker also mentioned a trigger could be a tax increase or a spending cut. These guys are something else. Guess which way they will go.
My vote is they go with a spending trigger. IF this tax plan does not create “rocket fuel” for the economy like they said, then spending will be cut. This is part of the whole dismantling of the Administrative state and draining the swamp.
MODERATOR’S NOTE: Please avoid political commentary. I’ve deleted several posts.
I read somewhere that the inclusion of drilling in the ANWR may be disallowed under the Byrd Rule. Someone please tell the Alaska senators! @dfbdfb
I thought the drilling allowance was done to win the vote of the woman senator from Alaska? She apparently is all for drilling in the ANWR.
Funny they will let big companies come in and drill but will not allow someone to build a log cabin.
On that note, if there are any illegal things in this bill, is suing the only way to challenge?
I doubt the Judiciary is going to offer any hope @romanigypsyeyes
I hope they change it for your sake. I know this affects you closely.
I think there are legal issues with triggering a spending cut, as the way they are pushing this bill through it can’t have that kind of clause and still be subject to the simple majority of 51 votes (or 50 with Pence).
Yes, some kind of court action seems like the only possibility other than elections… but I suspect even a successful court action may only freeze or reverse a portion of the bill, depending on what the challenge is based on.
Serious question here about rules and procedures. Given that the Senate is supposed to be the deliberative body, how and why is this not being filibustered?
I have a question related to the proposed tax on graduate student tuition waivers. How are students from outside the United States taxed? Does this vary from country to country? My daughter is in a program in which less than one-third of her classmates are U.S. citizens. Will the U.S. citizens be more affected or less affected by this change (if it goes through) or will the effect be the same on students no matter where they are citizens?
It’s being passed as a reconciliation bill, which is not subject to filibuster. This is allowed by the FY18 budget resolution, as long as it does not increase the total deficit by more than $1.5T over ten years.
Taxable income earned inside the United States is subject to United States taxation. There are various credits for foreign taxes paid that can get very complicated very quickly, but the short answer is: Just the same for foreign students as students from the USA.
Marco Rubio is now saying that the tax cuts must be followed by structural changes to Medicare and Social Security.
And the dismantling of the safety net begins.
If the trigger/backstop goes through, I expect the cuts will be in entitlement spending.
Cross posting from other thread:
Well just talked to my advisor who said the uni isn’t telling them anything. She said at least half of the department both students and faculty have shown up in her office worried.
She said whatever the decision is will come from well above her. The department doesn’t have the resources to do much of anything.
Romani, what are your options?
Michigan allows deductions for 529 contributions. It might make sense for you to open one in 2017, put enough to get the deduction, and then use it for qualified educational expenses in 2018 like food and shelter when you are going to have to use your stipend for income tax and for the following year’s 529 contribution. If you and your spouse each contribute $5000, you’ll save at total of $425 in Michgan taxes. It’s a drop in the bucket compared to the tax increase, but it’s something.
Good point @zeebamom . The entitlements are going to be on the cutting block.
Someone has to pay for this tax cut for the rich.
@ClassicRockerDad, aren’t just the earnings not taxed in the 529? The money put in isn’t tax deductible, at least at the federal level. But maybe some states handle it differently for state taxes…
CRD, I don’t know. I guess that’s something I could consider. I didn’t have a 529 but I thought they couldn’t be used for R&B. Am I wrong? (I have VERY skimpy knowledge on 529s).
We started a 401k this year and have been contributing to that what we can… that’s currently reducing taxable income but I don’t know if that’s going away with these bills.
@intparent Many states including Michigan allow contributions to 529s to be deductable for state tax purposes.
@romanigypsyeyes - 529 can be used for R&B. The 401K is a much better way to reduce your taxes though. The problem is that you can’t touch the money until you retire.
Do you have in-state residency?
“If Congress passes its tax bill and then takes no other action, the funding for dozens of federal spending programs could be cut — in many cases to nothing — beginning next year.”
The cuts would be automatic, the consequence of a 2010 law that Congress passed to keep itself from increasing the deficit too much.”
List of all Department programs that will be cut included in article along with amt in millions for each program that would be subject to sequester in 2018.
Rumor is that McConnell plans to put an amendment tonight in to repeal the Johnson Rule, which keeps non-profits like churches, etc. from endorsing or opposing specific candidates. It is part of their 501©(3) status, so I guess it is maybe could be done in this bill.