The "Making Work Pay Tax Credit"- what a joke

Well, I finally had a chance to look over our taxes and understand what the "MWPTC" actually amounted to. Of course many have forgotten about this wonderful little B.O. "tax cut". It kicked in back in April and was paid out through November for most, as employers adjusted federal withholdings and workers were allowed to take home roughly $50 a month more in their take home pay.
Okay. Great. So far so good. On the surface this sounds great! They let us all pay less in taxes this year, right?? .........WRONG!!!!

No. That is not how this worked.

These little increments that everyone got back throughout the year, *was money you were going to get back anyway, OR, that you OWED anyway! *
How do I know this? I felt like running the numbers just for the laugh of it and seeing how we would come out this year. The standard deduction and exemptions went up, but barely. What we paid into federal this year was obviously, severely reduced. As was everyone elses. But the tax you owe compared to last year barely changes. The tables are not adjusted to let you keep it.

Here's the kicker. There is a line on the 1040 this year, where you can supposedly claim the 'MWPTC' as a deduction. Ok, for a married couple that's $800 bucks. Sounds good.
That's all fine and dandy, but as a deduction, that does NOT mean you get to keep that $800 now. It just drops your adjusted gross down a couple increments on the tax table which ends up saving you about $20 off your tax bill!

So people think they're gaining something but they're not at all. It was money you were going to get back anyway or, were going to have to pay in.

In a nutshell, my tax return will be cut in half this year. Because the rest we got back over the year. Many, many people who like to keep it even and not owe anything or, get anything back, WILL END UP OWING THIS YEAR because of this debacle, and they do not know it yet. All because of this tax break which was not a tax break at all!

This is nothing like the $600 checks we got back under Bush as a REAL tax break. So far, they have people fooled or they remain in the dark about this. But it will become very apparent as the tax season wears on what this non-sense actually amounted to. No tax break at all. And many got money back they should not have gotten back, which they will be paying in at the end of the year. If my wife was single, she would have to pay in $656 this year after never having to pay in her entire life.

So guys, if you're expecting returns this year, don't get your hopes up. Just warning you now. You already got most of it back over 2009.

For the full amount to have been an actual tax break, they would have needed to have an extra, MWPTC special exemption of between 3 to $4,000 dollars for you to be allowed to keep the $800 you got back. A simple $800 deduction is almost worthless and they may as well have saved it.

In conclusion, this is yet another example of a promise made (95% of Americans will get a tax cut) that really did not amount to anything. Yet another supposed achievement B.O. can add to his resume on the campaign trail and fool most everybody. Though the informed and educated will not be fooled. This was a scam and a waste of effort and time across the country.

 

Aw come on now...if BO said it, it has to be true, right? I think you're just being paranoid. It'll all work out. (better stop there, that's all the sarcasm I can work up this early)

I can see it now somehow, someway, when tomc doesn't get the tax refund he was expecting it will all be his empoyers fault...or Bush's...or it'll be a conspiracy. I certainly won't be BO's fault.