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Ajedi32 2 days ago

Tax $100 each from couple A and couple B. Couple A leave their kids at a daycare and work. They get $200 in childcare costs reimbursed by the government. Couple B has one parent stay home to take care of their kids. They get nothing.

Couple A: -$100 + $200 = +$100

Couple B: -$100 + $0 = -$100

stackskipton 2 days ago | parent [-]

Sure and under income taxes, Couple B probably pays much less since US income tax structure is gives massive benefits to couples with single income. It may not be enough to offset joint income. As with most economic changes, there is massive web of things.

Ajedi32 2 days ago | parent [-]

> US income tax structure is gives massive benefits to couples with single income

It gives massive structural advantages to couples with low income, in the form of a lower marginal tax rate. Does it really discriminate between single and dual income though? I wasn't aware of that.

WD-42 2 days ago | parent [-]

It does not. Filing jointly just saves some hassle in the case where the partners are in the same tax bracket.