For the Demo Day on November 16, I showed how to calculate a taxpayer’s liabilities under current law and under a policy reform with Tax-Cruncher. The Tax-Cruncher web application takes two sets of inputs: a taxpayer’s demographic and financial information and the provisions of a tax reform.
For the first Demo Day example (3:50), we looked at how eliminating the state and local tax (SALT) deduction cap and applying payroll tax to earnings above $400,000 would affect a high earner. In particular, our hypothetical filer had $500,000 in wages, $100,000 in capital gains, and $100,000 in itemizable expenses. You can see the results at Compute Studio simulation #634.
For the second example (17:50), we looked at how expanding the Earned Income Tax Credit (EITC) and Child Tax Credit would impact a family with $45,000 in wages and two young children. You can see the results at Compute Studio simulation #636.
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