President Trump’s federal tax plan is a corporate giveaway that would balloon the federal budget deficit, with severe economic consequences more aptly described as con-artistry than conservatism.
While our broken tax code badly needs reform, this White House proposal misses the mark by slashing rates for the biggest corporations and creating even more ways for the richest Americans to avoid paying their fair share.
Trump’s proposal would be a corporate giveaway, plain and simple, slashing rates for the wealthiest while preserving unfair loopholes and lucrative deductions written by lobbyists that allow huge corporations like Exxon Mobil to pay zero in federal taxes and instead claim millions in rebates.
While Washington politicians have been talking, the American people have suffered. It is time for them to listen to the people and make serious changes that will benefit small businesses and working middle class families
Instead, Trump’s plan calls for cutting the number of individual tax brackets from seven down to three: 10 percent, 25 percent and 35 percent.
It would eliminate deductions for state and local tax payments and all others except the home mortgage interest and charitable donations.
The centerpiece of Trump’s plan would cut the corporate tax rate from 35 percent down to 15 percent, exempt foreign earnings from U.S. taxation and reward companies that have been parking cash overseas to avoid taxes.
The only thing good about Trump’s proposal is that it would double the standard deduction, so no taxes would be owed on the first $24,000 of income for a couple. However, the Trump outline lacks such details as what income would correspond to each individual tax bracket and there is no way economic growth could offset lost revenue.
We need more details about what the President’s plan would actually mean for middle-class families, but based on the little information released by the Trump administration so far, this scheme is a giveaway to corporate special interests, it would blow a massive hole in the deficit, and it would benefit President Trump and his businesses substantially more than everyone else.
For decades, Republicans have made cutting taxes for the wealthy and powerful priorities over investing in America’s young people, building stronger communities or expanding opportunity for struggling families. History proved that it’s a bankrupt theory to believe tax cuts for the rich will lead to prosperity for the middle class.
Since 1980, tax cuts for the rich have eviscerated the middle class and turned the American Dream into a nightmare for many good, honest people but it seems that President Trump and his Republican billionaire buddies are prepared to make things worse. By shifting the board and rigging the game, they are making it less likely that average citizens can ever reclaim control over our economy or political system from corrupt corporate masters who have taken over.
Connect with NJTODAY.NET
Join NJTODAY.NET's free Email List to receive occasional updates delivered right to your email address!