What Is The Fiscal Cliff?
By: WROC-TV
Updated: December 3, 2012
It's a term that has been resounding in the halls of Congress. But what does the "Fiscal Cliff" mean for the every-day taxpayer?
In summary, the fiscal cliff is the anticipated end of tax cuts issued under former President George W. Bush in 2001 and 2003. If Congress does not come up with a solution, an estimated 90 percent of Americans would see a mutli-thousand dollar increase in taxes. According to the Tax Policy Center, the end of the tax cuts would slap married couples with an additional $4,000 in taxes. The center projects that going over this cliff would also mean increases in estate taxes, child care and capital gains.
In summary, the fiscal cliff is the anticipated end of tax cuts issued under former President George W. Bush in 2001 and 2003. If Congress does not come up with a solution, an estimated 90 percent of Americans would see a mutli-thousand dollar increase in taxes. According to the Tax Policy Center, the end of the tax cuts would slap married couples with an additional $4,000 in taxes. The center projects that going over this cliff would also mean increases in estate taxes, child care and capital gains.
