Thread by @fawfulfan

When Republicans tell you that they “doubled the standard deduction from $6,000 to $12,000” that sounds great.

Until you realize a few facts.

First of all, to pay for that standard deduction increase, Republicans eliminated personal exemptions.

Those save each person $4,050 on their return.

So it’s really more like a 15% increase to the standard deduction.

Or if you’re a senior citizen, it’s just a 3% increase, because Republicans also eliminated the $1,250 extra deduction for people over 65.

But wait. It gets worse.

The key thing about the personal exemption was that you could take it whether or not you were doing a standard or itemized return.

So previously, you got some of this money even if you itemized. Now you have to choose between the full $12,000 and no itemizing, or just itemizing.

Itemizing was already something that was really hard for poor or middle income households to do. Now it will be almost impossible.

This will turn many tax incentives that were mostly used by the rich into incentives used ENTIRELY by the rich.

Look at it this way. If you’re in a poor household and you want to give what little you have to charity, previously you had to give up a $6,000 deduction to claim that on your taxes. Now you have to give up $12,000.

If you’re rich, this change affects nothing for you.

Or let’s say you’re a middle class household with a mortgage. If you want tax relief for your mortgage interest, this again means you have to give up $12,000 in deductions rather than $6,000.

Again, if you’re rich this doesn’t affect you at all.

Oh and I saved the best part for last!

All this assumes you’re a single filer.

If you’re a family, you previously got one exemption PER PERSON. So doubling the standard deduction but eliminating exemptions is actually a tax increase.

Anyway, Merry Christmas.