Tax Archives - DR News - News, Retirement, Finance

Parliamentarian’s Rulings Throw GOP’s Tax Bill Plans Into Disarray, Stripping Key Medicaid Provisions

WASHINGTON — Senate Parliamentarian Elizabeth MacDonough has delivered a significant setback to President Trump’s ambitious tax and spending plan, ruling that several major components violate Senate rules and cannot be passed via budget reconciliation with a simple majority. MacDonough’s recent ruling, outlined in a memo shared by Senate Democrats, particularly targeted provisions affecting Medicaid that Republicans intended to leverage for tax cuts. Specifically, she determined that a GOP proposal aimed at capping states’ access to …

Retirees Uncertain About Tax Implications of Social Security Benefits

Boston, MA – With over 52 million Americans aged 65 and older currently receiving retirement benefits from the Social Security Administration (SSA), it is essential to understand how these payments may be taxed. As tax season approaches, many retirees may be unsure about their tax obligations regarding their Social Security benefits. Retirement benefits from the SSA serve as a vital source of federal financial support for senior citizens who have paid into the system throughout …

Mass Exodus: Nearly 22,000 IRS Employees Opt for Early Departure, Potentially Crippling Tax Collection and Enforcement

WASHINGTON — In a sweeping move under the Trump administration, approximately 22,000 employees at the Internal Revenue Service have decided to participate in a “deferred resignation” program, signaling a dramatic reduction in the agency’s workforce. This program is part of an overarching strategy to downsize federal operations, which could reshape the IRS’s ability to collect taxes and serve the public. The departures, combined with earlier resignations and dismissals, are poised to decrease the IRS workforce …

Stealthy Pension Tax Raid Threatens 1.6m Retirees

Boston, MA – As retirement approaches, many pensioners are facing the challenge of navigating state pension taxes that could significantly impact their income. With a stealth tax raid looming over 1.6 million pensioners, finding ways to minimize the impact of these taxes has become crucial for many individuals. One pensioner shared their shock upon receiving a letter from HMRC detailing how their state pension rise was eroded by stealth taxes. This serves as a stark …

Tax Regime Impact: PFRDA Pension Scheme Growth Slows Amid Lower Tax Rates

New Delhi, India: The Pension Fund Regulatory and Development Authority’s pension scheme, catering to both corporate entities and individuals, might be impacted by the new tax regime, which offers lower tax rates but eliminates exemptions like those for investments. According to the latest data released by the authority on Thursday, the growth in the overall subscriber base, including government employees, private sector workers, and participants in the Atal Pension Yojana, slowed to 16.3% during the …

Tax Hikes Loom for Mississippi Municipalities as Retirement System Funding Bill Fizzles

JACKSON, Miss. – City and county governments in Mississippi are facing a tough decision after a bill that would have decreased the employer contribution to the state retirement system for government workers failed to pass. Supporters of the proposal warn that without this change, local governments may have to resort to raising taxes or cutting employees to make up for the increased costs. House bill 1590, which did not move forward in the Senate committee …

Social Security Taxes: How to Minimize Your Tax Bill on Benefits

Decatur, Illinois – Retirement planning can be a daunting task for many individuals, especially when it comes to understanding how Social Security benefits can be subject to income taxes. Many pre-retirees are taken aback by the realization that a significant portion of their Social Security income may be taxed, a departure from the experiences of previous generations. With approximately 48% of Social Security recipients already paying federal income taxes on their benefits, this number is …

Tax Break Opportunity: Don’t Miss Out on Retirement Saver’s Credit for 2023 Taxes

Fresno, California – Tax filers have an opportunity to benefit from a tax break known as the retirement saver’s credit for the 2023 tax year. Despite this opportunity, the IRS estimates that only a small percentage—5.7%—of taxpayers claimed the saver’s credit for their 2021 taxes. The retirement saving contribution credit, also known as the saver’s credit, aims to assist low- to moderate-income individuals in offsetting a portion of the funds they contribute to individual retirement …

Income Tax on Social Security Benefits in West Virginia Phased Out Over Three Years by New Bill

Charleston, West Virginia – Governor Jim Justice has signed House Bill 4880, which will phase out the state income tax on Social Security benefits over the next three years. This move comes as a relief to many retirees and seniors in West Virginia who have been burdened by this tax on their retirement income. The bill will eliminate the state income tax on Social Security benefits for single filers earning more than $50,000 and couples …

Tax Credit Crunch: Trump Administration Takes Aim at Climate-friendly Energy Subsidies

WASHINGTON, D.C. – Lawmakers recently passed a Democrat-led infrastructure and climate package that includes a range of tax credits for eco-friendly energy sources and electric vehicles. The legislation also allocates funds for grants supporting projects that reduce pollution and combat climate change, along with measures to hold oil and gas companies accountable for methane leaks. The new law has sparked controversy, particularly among Republicans who have expressed intentions to repeal at least parts of it …