Tag Archives: fiscal cliff

Posted 4 years ago in Government Taxation by Janet Raasch  
New Tax Laws Will Affect Most Americans

At the beginning of 2013, President Obama signed the American Taxpayer Relief Act of 2012, averting the dreaded “fiscal cliff” and making significant changes to U.S. tax law. While the top 1 percent of taxpayers will bear the biggest burden, the new law will affect most U.S. families in one way or another.   Income Tax Brackets Rates will increase for only the highest income tax bracket, increasing from 35 percent to 39.6 percent. These changes apply only to individuals …

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Mortgage Forgiveness Act Extended

As part of the law passed as a last minute escape of the so-called fiscal cliff, Congress extended the Mortgage Forgiveness Debt Relief Act to the great relief of homeowners who’ve suffered foreclosure.   Injury, but Not Insult First passed in 2007, the act allows mortgage holders to avoid paying income tax on the value lost when they are forced to sell their homes at prices below their market value. Normally, the IRS considers that lost value as a break …

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Posted 4 years ago in Consumer Law Government by Michele Bowman  
Consumers Already Falling Off Fiscal Cliff

Automatic spending cuts and tax hikes are set to go into effect Jan. 1, absent a compromise over the budget, and consumers are worried about the impending “fiscal cliff.” President Barack Obama and Republican congressional leaders are still trying to negotiate at the 11th hour. If a deal isn’t reached, there could be serious consequences for consumers.   Another Recession Looms The so-called fiscal cliff refers to the end of 2012, when provisions of the Budget Control Act of 2011 …

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