“Pull the blinds over the eyes of Americans, while we steal money in places they won’t notice.”
If you examine nearly every idea the GOP has floated about Tax Reform for the individual, that statement pretty well sums it up.
TheTaxPatriot has previously reported on The New Death Tax.
It’s plan to tax your home when you die. It will affect everyone who has purchased a home that has appreciated in value. This is a stunning blow to the American dream.
Desperate for cash, the GOP has now resurrected the Obama administration’s ideas about where to find the money.
They are now taking a very clear shot at the 401k retirement savings of Americans. This is only logical, because the 401k and IRA is a soft target. Unlike corporate influence, there is nobody lobbying to protect the retirement savings of Americans from these changes.
As previously reported, the GOP wants to reverse the rules on IRA and 401k distributions at death. They want to accelerate the taxes paid by beneficiaries of those accounts through the elimination of the stretch IRA.
The income tax repercussions of this for beneficiaries are catastrophic.
Now the GOP is looking at the repeal of tax deductible 401k and IRA contributions.
They want American’s to pay taxes on those funds immediately and save in a Roth type of tax-free savings. The President initially said no to this but has since softened his position.
With all this manipulation of the tax system, can the Government be trusted with American’s retirement savings?
America doesn’t need “Tax Reform”, it needs “Spending Reform.”