State, local relief not in cards for residents of high-tax states as House assesses Inflation Reduction Act

Rep. Tom Suozzi, D-N.Y., speaks during a news conference announcing the State and Local Taxes (SALT) Caucus outside the U.S. Capitol on April 15, 2021. Sarah Silbiger | Bloomberg | Getty Images After fighting to repeal the $10,000 limit on the federal deduction for state and local taxes, known as SALT, a group of House Democrats say they will still vote for the party’s spending package without SALT reform. Reps. Josh Gottheimer, D-N.J.; Mikie Sherrill, D-N.J.; and Tom Suozzi, D-N.Y., members of the SALT Caucus who have vowed to oppose…

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Back-to-school shopping takes ‘a major financial toll’ amid high inflation. Here’s how to save on supplies for the fall

Customers shop for back-to-school supplies at a Target store in Colma, California. David Paul Morris | Bloomberg | Getty Images As parents know all too well, it’s hard to cut back when it comes to the kids. Despite more households living paycheck to paycheck, this year’s total back-to-school spending is expected to match last year’s record high of $37 billion, according to the National Retail Federation. Families with children in elementary through high school plan to spend an average of $864 on school supplies, $168 more than in 2019, the NRF…

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Airfares, hotel rates and rental car prices fell in July. Here’s how you can score a good deal

Fluxfactory | E+ | Getty Images Travelers saw prices fall for big-ticket pieces of their vacation budgets in July, offering at least a temporary reprieve after soaring costs earlier this year. Airfares fell nearly 8% from June to July, while prices for rental cars and lodging like hotels declined 9.5% and about 3%, respectively, according to a monthly inflation report issued Wednesday by the U.S. Department of Labor. It was the second consecutive month of price declines for each category. “That’s really good news, I think, when people are planning…

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With the IRS hiring more employees, here’s who agents may target for audits

Jeffrey Coolidge | Photodisc | Getty Images As the Democrats’ spending plan moves closer to a House vote, one of the more controversial provisions — nearly $80 billion in IRS funding, with $45.6 billion for “enforcement” — has raised questions about who the agency may target for audits. IRS Commissioner Charles Rettig said these resources are “absolutely not about increasing audit scrutiny on small businesses or middle-income Americans,” in a recent letter to the Senate. However, with the investment projected to bring in $203.7 billion in revenue from 2022 to…

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Shop at Costco, use a cash-back app: how to save on groceries as food inflation jumps at the fastest pace since 1979

To feel the effects of inflation, just go to the supermarket. Although inflation, overall, began to ease last month along with gas prices, food costs climbed another 1.1% in July, bringing the year-over-year gain to 10.9%, according to the latest Consumer Price Index figures. The food-at-home index, a measure of price changes at the grocery store, notched the largest 12-month increase since 1979. Cereals and baked goods cost 15% more than they did last year. Milk and dairy products are 14.9% higher, and fruits and vegetables are up 9.3% over the year.…

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Buying a car and want to go electric? Inflation Reduction Act extends $7,500 tax credit — but with price, income caps

David Madison | Photodisc | Getty Images A federal tax break that’s available to car buyers for going electric may work differently starting next year. Under the Inflation Reduction Act — which received Senate approval on Sunday and is expected to clear the House this week — a tax credit worth up to $7,500 for buyers of new all-electric cars and hybrid plug-ins would be extended through 2032. The bill would also create a separate tax credit worth a maximum $4,000 for used versions of these vehicles. Yet the measure…

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Do you know what your credit score is? Here’s everything you need to know

It shouldn’t be a surprise that you need to have a good credit score for your overall financial health. But do you actually know what your credit score is, how to figure it out, and why it matters? Watch this video, as CNBC’s Emily Lorsch breaks it all down. Source link

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Inflation Reduction Act extends ‘pass-through’ tax break limits for 2 more years. Here’s what that means for entrepreneurs

Senate Majority Leader Chuck Schumer, D-N.Y., discusses the Inflation Reduction Act on Aug. 7, 2022 in Washington, D.C. Kent Nishimura | Los Angeles Times | Getty Images Senate Democrats curtailed a tax break for certain pass-through businesses as part of the Inflation Reduction Act passed Sunday. A pass-through or flow-through business is one that reports its income on the tax returns of its owners. That income is taxed at their individual income tax rates. Examples of pass-throughs include sole proprietorships, some limited liability companies, partnerships and S-corporations. Democrats’ legislation —…

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With 87,000 new agents, here’s who the IRS may target for audits

Jeffrey Coolidge | Photodisc | Getty Images As the Democrats’ spending plan moves closer to a House vote, one of the more controversial provisions — nearly $80 billion in IRS funding, with $45.6 billion for “enforcement” — has raised questions about who the agency may target for audits. IRS Commissioner Charles Rettig said these resources are “absolutely not about increasing audit scrutiny on small businesses or middle-income Americans,” in a recent letter to the Senate. However, with the investment projected to bring in $203.7 billion in revenue from 2022 to…

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On rare days, the market rises 5% — or even 10%, Wells Fargo finds. How to make sure you’re there for it

Gzorgz | Istock | Getty Images “It was the best of times, it was the worst of times.” With those classic words, author Charles Dickens famously opened his historical novel “A Tale of Two Cities.” He could easily have been describing the stock market. A new Wells Fargo analysis looked at the best 20 days for the S&P 500 Index between August 1992 and July 2022. Almost half of them, the investment bank found, occurred during a bear market. More from Personal Finance:What the Fed’s 75-basis point rate hike means…

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