What Does the Fiscal Cliff Mean For West Texans?

By: Marianne Elisak

Updated: January 2, 2013

MIDLAND---The Senate had already approved a bill at the end of 2012, and around 10:00PM Tuesday night, the House also passed it.

The Bill ends the Bush tax cuts for families making more than $400,000 and married couples making more than $450,000.

Mickey Cargile is the founder and managing partner of Cargile Investment Management, with 30 years of experience in the financial industry. He is also a nationally recognized authority in financial planning.

"For those making more than $200,000, there's going to be some tax increases because they will phase out exemptions and deductions" says Cargile.

But Cargile says that most West Texans will not be affected. "For most people the only tax increase they will see is the roll back of the FICA tax, that 2.3% holiday that we all received for the last 2 years" says Cargile.

Certified CPA and CMAP, Laura Roman says she'll be seeing happier tax payers in Midland this year.

"We're definitely going to have happier tax payers that what we would have looking at 2013 with what we thought we were projecting" says Roman.

Regardless of happier tax payers, Cargile says the concern has been in all the wrong places.

"There's been a huge concentration on tax rates and tax brackets, rather than average tax and average taxes really what we should be concerned about" says Cargile.

There are many mixed reviews regarding the Fiscal Cliff. Congressman Mike Conaway voted against the bill saying the bill had "serious flaws" involving spending cuts.

So did Congressman Randy Neugebauer, who said it raises the deficit by another four trillion dollars.