Re: POLITICS did taxes go up?

[Guest guest]

You could look at the tax tables in Publication 17 on the IRS Web site for

2006 and compare it to 2007.

This is what I do know:

- the standard deduction and the exemption went up for everyone, so we are

paying taxes on less of our income.

- The exemption went from $3300, to $3400, to $3500, 2005-2007, for each

dependent.

- The standard deduction went from $5,000, to $5150, to $5350, from 2005 -

2007.

The amount in the bracket they are looking up in the table should be lower.

Hope this helps,

Kathy

POLITICS did taxes go up?

Does anyone know if taxes for the low-income brackets went up from last

year?

Chris

[Guest guest]

Kathy,

> You could look at the tax tables in Publication 17 on the IRS Web site for

> 2006 and compare it to 2007.

>

> This is what I do know:

> - the standard deduction and the exemption went up for everyone, so we are

> paying taxes on less of our income.

Ha, well if only that applied to self-employed people. You can bring

your taxable income down very close to 0 (like I did) with these

deductions and exemptions and still wind up paying over $1000 in

" self-employment tax. " I don't recall seeing that tax last year.

Chris

[Guest guest]

Are you saying you don't recall seeing self employment tax? Its what the

self employed pay instead of social security and medicare tax. I've done

contract work on and off for the last 20 years and its been around at least

since then.

And are you saying that the standard deduction and exemption don't apply to

the self-employed? That isn't true either.

Kathy

Re: POLITICS did taxes go up?

Kathy,

> You could look at the tax tables in Publication 17 on the IRS Web site for

> 2006 and compare it to 2007.

>

> This is what I do know:

> - the standard deduction and the exemption went up for everyone, so we are

> paying taxes on less of our income.

Ha, well if only that applied to self-employed people. You can bring

your taxable income down very close to 0 (like I did) with these

deductions and exemptions and still wind up paying over $1000 in

" self-employment tax. " I don't recall seeing that tax last year.

Chris

[Guest guest]

Kathy,

> Are you saying you don't recall seeing self employment tax? Its what the

> self employed pay instead of social security and medicare tax. I've done

> contract work on and off for the last 20 years and its been around at least

> since then.

>

> And are you saying that the standard deduction and exemption don't apply to

> the self-employed? That isn't true either.

No I guess I was just confused based on the fact that I've been doing

this for 2 instead of 20 years. What I meant was that the deductions

don't figure in to the amount of income that is taxable on SE tax. In

other words they figure into 1040 but not into the SE form. But yeah,

I was just confused.

Chris