How to Get Untaxed Social Insurance Benefits
What would happen if Social Security Benefits were no longer taxed? Howard Gleckman, TPC’s Howard Gleckman, reports on a new TPC assessment of the proposed repeal of taxation of Social Security benefits by former President Trump. The plan would reduce taxes for US households on average by $550. Those earning between $63,000 to $200,000 would see the biggest changes in terms of after-tax income. By reducing Social Security and Medicare hospital insurance revenues by $1.5 trillion over the next decade, both programs would become insolvent faster.
Sports betting operators will “tax” their customers’ winnings. DraftKings has announced plans to impose a gaming surcharge of up to 30 cents on winning bets if sports betting tax rates exceed 20 percent in states where there are multiple betting operators. A spokesperson for the company explained that if you bet $10 to win $20 you would only pay 30 cents. Illinois, New York and Vermont are among the states that allow sports betting. Over 30 states permit some form of sports betting, and many of these allow mobile and online betting. DraftKings may be the first US operator that taxes the winnings of a gambler. Better reporting can help determine if nonprofit hospitals meet their charitable goals. Gene Steuerle, TPC’s Gene Steuerle, explains how nonprofit hospitals can improve their financial assessments. The size of a hospital’s charitable footprint can be determined by comparing or reconciling the available charitable resources with their actual uses. Nebraska state legislators propose a tax for ammunition. TaxNotes (paywall) reports on the bill that would impose a 5% excise tax. The tax revenue would be used to fund a new grant program that supports services for post-traumatic disorder. A cat tax is being introduced in Kenya.
Nairobi County wants owners to register all cats within its jurisdiction. Nairobi will require cat owners to purchase a $1.50 annual cat license and provide proof that their cat is rabies-vaccinated. Owners will also be required to ensure that their cats do not “scream or scream in a way that disturbs the peacefulness” of residents. The Daily Deduction will be posted on Mondays and Tuesdays, September 3 until Monday, September 9. Subscribe to the Tax Policy Center Daily Deduction for the latest tax news.
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