With Super Tuesday behind us, and the November elections right around the corner, taxpayers and investors may be wondering what impact some of the proposed policies by Republican frontrunner, Mitt Romney, may have on them. Bob Wamhoff, President of Wamhoff Financial Planning and Accounting Services, recently sat down with Fox 2 to share some insight on the matter.
1. Tax rates on investment income: There has been much debate and speculation on where taxes on investment income may end up. Congress has kept lower tax rates in place, but at this point it’s only temporary. Romney has stated he will make those lower rates permanent, which could give investors more confidence and help retirees who are living off their investment income.
2. Corporate taxes: Many things have been proposed, from lowering the corporate tax rate to 25% (from 35%) and support of the Bowles-Simpson Commission which calls for corporations overseas to repatriate profits to the United States. The theory is that this money flows, in one form to employees, shareholders and investors whose mutual funds or pensions include those corporations. There’s always debate on whether or not that would happen, but reforming the corporate tax system in some form is desperately needed as many US corporations avoid tax liabilities through loopholes and that affects everyone.
3. National Health Care: The President and Democratic Congress fought hard for the passage of a national health care bill. Romney has laid out a specific plan to dismantle this, including an executive order paving the way for waivers to the system in all 50 states. There are many people who are passionate on both sides of the issue, so this is one that taxpayers and voters should keep their eyes on.
4. The American Workforce: Romney looks to two different areas of the American workforce. First, American workers who need retraining to be successful candidates in today’s economy. And second, he points to creating an immigration policy designed to attract talent from overseas who can help maximize our economic potential.