What the new tax bill could mean for you

Changes in the tax code won't affect your upcoming taxes for this year, but it will change things for 2018 and beyond.

"Once you get to $70,000 of taxable income, the bracket appears to have a 3 percent reduced rate for the next couple of levels," CPA Andy Kahn said.

Kahn adds the tax bill cuts income tax rates at most levels but not at the very lowest. It also eliminates personal exemptions and doubles the standard deduction of up to $24,000 for married couples, which will give a boost to some of those lowest earners.

"If you're married and filing jointly and your income isn't higher than $24,000 you'll pay zero tax," Kahn explained.

The child tax credit is also doubled. The new bill even keeps current deductions for student loan interest and tuition waivers for grad students will remain tax free.

But new home buyers would only be able to deduct interest rates on the first $750,000 of mortgage debt instead of the previous million and the state and local tax deductions are now capped at $10,000.

Kahn says the bill benefits corporations the most. He adds business owners can now also write off expensive buys like new buildings or equipment.

"This bill is meant to promote economic growth," he adds.

But there is always a price to pay. Ed Kaminski of the nonprofit Housing Development Corporation says banks now have less incentive to subsidize new low income affordable housing projects.

"We are expecting next year with the tax reform, that the pricing will go down and we might get 60 to 65 percent cost paid by the tax credit," Kaminski said.

That's a 20 percent decline he says will result in less affordable housing to be built.

The bill also eliminates the Affordable Care Act mandate and opens up the Alaska Wild Life Refuge to oil and gas drilling.

The Congressional Budget Office says the bill will add more than a trillion dollars to the deficit.

Health Care experts say the repealing of the Affordable Care Act mandate could push 13 million people off insurance and sharply raise rates for everyone else.

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