House bill to hit millionaires with 5.4% surtax

[Insein]

http://www.reuters.com/article/marketsNews/idUSWEN055320090714


House bill to hit millionaires with 5.4 pct surtax
Tue Jul 14, 2009 1:41pm EDT

WASHINGTON, July 14 (Reuters) - A sweeping overhaul of the U.S. healthcare system to be announced on Tuesday in the U.S. House of Representatives will include a surtax on millionaires of 5.4 percent, congressional sources said.

The tax rate is higher than the 3 percent surtax lawmakers had been discussing earlier and would be imposed on those making more than $1 million a year, the sources said.

(Reporting by Donna Smith; Editing by Sandra Maler)

[Insein]

What I want to know is what loopholes will they put in to exempt themselves because they are ALL millionaires and lord knows they will not be paying this tax.

[avatar4321]

That's alot of money in taxes.

BTW what the hell is a surtax?

[Insein]

Not sure. I just know that those surtax's are more than what I make in a year for any millionaire.

[Mr. P]

I heard today that the average Joe will pay 2.8% tax IF he doesn't participate.

True? Donno, I haven't read what today's bill says. But I wouldn't doubt it for a second.

[Joe Steel]

That's alot of money in taxes.

BTW what the hell is a surtax?

A surtax is a tax on a tax. After you calculate your taxes, multiply them by the surtax rate to find the surtax. For instance, if you do your taxes according to all current rules and regulations and find them to be $1,000 (to make the arithmetic easy) multipy by 5.4%. The surtax is $54.00.

[Kathianne]

Definition:

http://www.businessdictionary.com/definition/surtax.html

surtax

Definition

Tax levied in addition to, and based on, the normal (primary) tax rate. Also called tax surcharge.

[red states rule]

Millionaires and business owners: Get out while you can. Put your assets outside the country, and move as much of your operations as you can to another country.

House health plan would tax the rich, REQUIRE employers and individuals to get health coverage

snip

The legislation calls for a 5.4 percent tax increase on individuals making more than $1 million a year, with a gradual tax beginning at $280,000 for individuals. Employers who don't provide coverage would be hit with a penalty equal to 8 percent of workers' wages with an exemption for small businesses. Individuals who decline an offer of affordable coverage would pay 2.5 percent of their incomes as a penalty, up to the average cost of a health insurance plan.

http://finance.yahoo.com/news/House-health-plan-to-boost-apf-1405031589.html?x=0&sec=topStories&pos=1&asset=&ccode=