If your favorite store has a sale on an item and that sale ends
Did they raise the price of the item?
Here is a better explanation
(otherwise known as the law)
The Bush tax cuts had sunset provisions that made them expire at the end of 2010, since otherwise they would fall under the
Byrd Rule. Whether to renew the lowered rates, and how, became the subject of extended political debate, which was resolved during the
presidency of Barack Obama by a two-year extension that was part of a larger tax and economic package, the
Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. In 2012, during the
fiscal cliff, the tax cuts were made permanent for single people making less than $400,000 per year and couples making less than $450,000 per year, and eliminated for everyone else, under the
American Taxpayer Relief Act of 2012.
Before the tax cuts, the highest marginal income tax rate was 39.6 percent. After the cuts, the highest rate was 35 percent. Once the cuts were eliminated for high income levels (single people making $400,000+ per year and couples making $450,000+ per year), the top income tax rate returned to 39.6 percent