Losers: Low-income filers with children.
Winners: Low- to middle-income households.
House Republicans want to raise standard deductions to $24,000 for married taxpayers who file jointly and $12,000 for single filers.
That's up from $12,700 for married couples and $6,350 for individuals.
Yet this change isn't as generous as it appears, according to Stan Veliotis, associate professor and director of the Center for Professional Accounting Practices at Fordham University in New York.
Under the current system, a single filer can take a standard deduction of $6,350 and a personal exemption of $4,050. That equates to $10,400 in tax savings compared with the proposed $12,000 standard deduction for singles.
Further, the new framework may not be beneficial to large families as it does away with the dependent exemption, which provides $4,050 for each qualifying dependent.
"Dependents are the major thrust," said Veliotis. "If you take away the dependent exemption for my five kids, that's $20,000, and the enhanced standard deduction won't do it for me."
Republicans proposed raising the child tax credit to $1,600 from $1,000.They are also calling for a new $300 credit for each parent and nonchild dependents.