Latest news with #deduction
BBC News
23-05-2025
- Business
- BBC News
Foxes are 'prime target' for punishment
Football finance expert Kieran Maguire has estimated that Leicester City could be inline for a "seven-point deduction" for their latest breach of the Premier League's profitability and sustainability rules (PSR).Speaking to BBC Sport's Charlie Slater about the situation, Maguire said: "If we use the Everton and Nottingham Forest cases as a starting point, they were given a set penalty plus an additional penalty, in terms of points, for the severity of the offence over the allowable limit."On the basis of that, we are probably looking at something like a seven-point deduction which if applied this season - and there's a case for saying it is too late - would result in Leicester City probably dropping from 18th to 19th position in the Premier League."The reason why it might have to be applied to this season is because you get around about £3.5m per place in the Premier League. Therefore, from the perspective of Ipswich Town, they would say they are entitled to an extra £3.5m and they would want this particular issue to be pursued."Former Leicester City striker Matty Fryatt said the situation "doesn't look healthy" on the When You're Smiling podcast: "It certainly doesn't sound good initially."The club are the prime target number one because they used that loophole before to get out of the previous charge."The Premier League obviously deem it a breach of their rules so they are already after them. Then subsequently, because of relegation, the EFL will want a nibble as well because the club had previously breached their rules but went back up to the Premier League again."So, all in all, it is a mess. I do think both the Premier League and the EFL will be after Leicester City, especially after they were clever in getting out of the situation last time."It doesn't look healthy. I don't know whether the points deduction will be enforced for this season, which would probably play into Ipswich's favour for a bit of money, or if the EFL will go after Leicester City next season."I wonder if the EFL could even save the points deduction and use it the following season, if Leicester City get promoted next season? It is very messy and the club is prime target number one unfortunately."Listen to the full podcast on BBC Sounds
Wall Street Journal
21-05-2025
- Business
- Wall Street Journal
The GOP's SALT Deal Folly
After holding the tax bill hostage, House Republicans from high-tax states have extorted an enormous increase in the state-and-local tax deduction—not that they will get much credit for it. Unlike the bill's pro-growth provisions, this giveaway to the affluent will have no economic payoff and subsidizes profligate Democratic-run states. Speaker Mike Johnson late Tuesday greased the wheels for the reconciliation bill's passage by cutting a deal with Republicans from New York, New Jersey and California to raise the state-and-local deduction to $40,000 with a 1% annual inflation adjustment over 10 years. The deduction would be phased out starting at $500,000 of income for couples.
Bloomberg
20-05-2025
- Business
- Bloomberg
Trump Pushes SALT Republicans
President Donald Trump is growing frustrated with demands to significantly boost the cap on the state and local tax deduction, according to a senior administration official, signaling a deadlock as Republicans aim to quickly pass a giant tax-cut bill. Bloomberg's Tyler Kendall has the story. (Source: Bloomberg)
Bloomberg
20-05-2025
- Business
- Bloomberg
Trump Pushes SALT Republicans to Abandon Further Cap Hike
President Donald Trump on Tuesday pushed back on demands from Republicans who have threatened to sink his giant tax bill if the legislation does not significantly boost the state and local tax deduction, lawmakers said. In a private meeting with House Republicans, Trump singled out the lawmakers from New York, New Jersey and California who have rejected the $30,000 deduction limit — three times the current cap — contained in the legislation moving through the House.
Fox News
17-05-2025
- Business
- Fox News
'Failure's not an option': Trump budget bill will be 'big' help for seniors, top House tax-writer says
EXCLUSIVE: The top tax-writer in the House of Representatives is arguing that President Donald Trump's "big, beautiful bill" will be "big" for American taxpayers as well – including seniors. House Ways & Means Committee Chairman Jason Smith, R-Mo., and other Republicans on the panel spent months negotiating behind closed doors on how to enact Trump's tax policies. Among those is an added $4,000 deduction for Americans aged 65 or older. Seniors with income of less than $75,000 as single filers, and less than $150,000 as joint filers, would be eligible for the full deduction, which then would begin to phase out. "So, that's on top of their guaranteed deduction, and that's per person . . . anyone who has total earnings of $75,000 a year or less is going to be made completely whole, so all the low-income and middle-income seniors on Social Security will be paying zero on Social Security in the long run," Smith told Fox News Digital, while adding of others, "most of them will be paying much less." Republicans are using the budget reconciliation process, which lowers the Senate's threshold for passage from 60 votes to 51 for certain pieces of fiscal legislation, to advance a vast bill full of Trump's priorities on taxes, immigration, energy, defense and the national debt. Because the House already operates under a simple majority, reconciliation allows the party in power to pass sweeping legislation while sidelining the other side, in this case, Democrats. Trump has directed congressional Republicans to permanently extend his 2017 Tax Cuts and Jobs Act (TCJA), as well as implement new policies eliminating taxes on tips, overtime pay and retirees' Social Security. But the law that established the reconciliation process, the Congressional Budget Act of 1974, also specifically forbade direct changes to Social Security via the process. Smith said Republicans' had added $4,000 tax deduction as a way to make them "completely whole." Rather than seeing that tax relief month-to-month, however, Smith said it would come in people's yearly tax returns. He argued that it was more beneficial for lower-income seniors as well, giving added relief to those whose incomes were too low to pay Social Security taxes in the first place. "Under the rules of reconciliation, you cannot touch Social Security directly. What we did is to make sure that they get . . . tax relief for any senior who makes less than $75,000 per year," Smith said. "It's not that we didn't want to do it, it's that it cannot be done under the rules of reconciliation, or you wouldn't qualify for the 51-vote threshold over in the United States Senate." "But the tax relief they will receive is an added tax cut, and that will make up for what they have paid in Social Security tax." The White House also endorsed Smith's plan despite its departure from Trump's initial campaign pitch. "The One, Big, Beautiful Bill not only delivers permanent tax cuts and bigger paychecks, but it secures a historic tax break for seniors on Social Security," White House spokesperson Anna Kelly said. "This is another promise made, promise kept to our seniors who deserve much-needed tax relief after four years of suffering under Bidenflation." The $4,000 tax deduction, which would be in effect from the 2025 through 2028 tax years, would be on top of the higher standard deduction that people above age 65 already receive. It would not be a tax credit, reducing tax liability directly regardless of tax brackets. A deduction reduces taxable income and is dependent on the taxpayer's rate. But for single seniors making up to $75,000, and married seniors making less than $150,000, qualifying for the $4,000 deduction, it would likely provide some relief for millions of taxpayers across the country. "It'll be a wash of what their Social Security tax would've been," Smith said, adding later in the interview: "Failure's not an option. We're going to get this done."
