WICHITA, Kan. (KSNW) – President Donald Trump’s tax code overhaul is one step closer to becoming law. Tuesday, the Senate Budget Committee advanced the bill.
GOP leaders hope to have the full Senate take up the bill later this week.
So what does this proposed new tax system mean for you?
A Wichita CPA told KSN the proposed tax reform bill will potentially benefit Kansans and people across the country, but that is all depending on their financial situations.
However, he says he has several concerns with the possible changes.
For weeks now, House and Senate Republicans have been discussing ideas on their highly anticipated tax reform bill.
Earlier this month, the House passed its version of the tax bill. Now, it’s the Senate’s turn to sell their plan to the American people. But still questions remain about how it would affect tax payers.
“I don’t know we’re still working on it, I have some concerns on the deficit side,” said a GOP leader.
CPA James Rogers also has deficit concerns and says many of his clients have been asking how some changes would affect them.
Major tax reform changes include increasing standard deductions, lowering income tax brackets, and doing away with deductible expenses like medical and student loans.
But, Rogers says it’s not bad for everyone.
“I don’t think that will hurt a lot of Kansans a lot, it’s already difficult to deduct medical expenses on a tax return because they have to exceed a certain percentage of your income,” said James Rogers, CPA PA.
Rogers says he’s unsure how much the student loan change would impact Kansans because they will see an increase in their standard deduction.
But while the bill has been introduced to help middle class Americans, Rogers says that might not be the case for all.
“Unfortunately, I think some of the larger breaks are geared toward high income and wealthier tax payers and I’m not sure if that’s good for the country as a whole,” said Rogers.
Rogers says it’s kind of a guessing game as to what this will all mean for Kansas tax payers, he says while some will come out ahead, others will not.