The fiscal cliff: Much higher taxes for you

WEST SPRINGFIELD, Mass. (WWLP) — It's been all over the news since election night: the looming fiscal cliff. But how will it affect you?

If Congress cannot figure out a plan to cut the national debt, it likely means smaller paychecks, higher taxes, and severe budget cuts that could threaten millions of jobs. This would start in January.

Someone making between $40,000-65,000 per year would pay about $2,000 more in payroll and income taxes. Tax credits for students, teachers and children would be cut or disappear completely.

Certified Public Accountant Andy Pignatare told 22News that small business owners should think about taking action now. 

"Everybody who has a small business or owns a small business, if they need equipment, talk to your tax professional get it in place by the end of the year,” Pignatare said.

Small Businesses can write off close to $140,000 a year now, that could drop down to just $25,000 next year.

Copyright 2014 WWLP TV. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 

Political Pulse

Did you like this article? Vote it up or down! And don't forget to add your comments below!

No
Like It
 
Don't Like It
 
 
 

Comments

We welcome your thoughtful comments. Be the first to participate in the discussion. All comments will display your username and avatar.

 

Add a Comment

Sign in or join now to post a comment. All comments will display your username and avatar.

 


Massachusetts (change)

 
Welcome to Massachusetts onPolitix, powered by 22News. Trust onPolitix for your latest state, local, and national political news. onPolitix is just another way 22News is working for you.
 
Offices & Officials

Governor: Deval Patrick
Lieutenant Governor: Tim Murray
Attorney General: Martha Coakley
Secretary of State: Bill Galvin

Contacting the White House and Congress

Click the links below to get in touch with your elected officials.