Fiscal Cliff deal still includes tax increases for most American - Fox 28: South Bend, Elkhart IN News, Weather, Sports

Fiscal Cliff deal still includes tax increases for most Americans

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"It's more taxes, who likes that?" asks South Bend taxpayer Shawn Watson.

That's what Michiana residents are saying about the deal just passed by Congress.

If the fiscal cliff deal keeps Bush-Era tax cuts in place for most Americans, what is that tax hike taxpayers are talking about?

"The one that has come out already is the payroll tax holiday which has been in place for two years is no longer there so people are actually going to see their taxes go up," says Brian Conwell with Liberty Tax Service.

Tax season is getting underway and tax preparers like Conwell are paying close attention to Tuesday night's deal.

Right now, details are still trickling down.

The good news is you won't have to worry about it when filing this year, but 2013 is a different story.

"Enjoy this year. it's about as simple as it's gonna be for a long time I think," says Conwell.

So just how hard will paychecks be hit?

There will be a 2% payroll tax increase.

The Tax Policy Center says that means households making between $40,000 and $50,000 will face an average tax increase of $579 in 2013.

Households making between $50,000 and $75,000 will pay about $822 more.

Taxpayers say they just have to roll with the punches.

"We do what we can to survive out here but when it comes down to it... it's all in their hands, you know?" says Shawn Miller of South Bend.

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