• Instead of seven, we'd have three income tax brackets.
Current: 10%, 15%, 25%, 28%, 33%, 35%, 39.6%
Proposed: 12%, 25%, 33%
• The standard deduction would go way up. It jumps from $6,300 to $15,000 for singles; for married joint filers, it jumps from $12,600 to $30,000.
• Personal exemptions and exemptions for dependents would be eliminated, as would the head-of-household deduction.
• Families with children under age 13 could deduct childcare costs, capped at the state average.
• The alternative minimum tax, a complicated surtax that raises rates on middle- to upper-middle-class earners, would be axed. It currently affects nearly 5 million people.
• Gift taxes and estate taxes would be gone; capital gains held until death would be exempt up to $5 million per person.