Tag: GOP supply side economics

Key Vote Alert: Rep. Paulsen Votes to Permanently Slash State and Local Tax Deductions, Put Social Security and Medicare on the Chopping Block

© Greg Nash

After voting to give massive handouts to the wealthy and corporations at the expense of the middle class with last year’s Tax Scam, Republicans are back for more. Rep. Paulsen, as a member of the Ways and Means Committee, voted yesterday topermanently cap the State and Local Tax (SALT) deduction, costing Minnesota families thousands of dollars per year. Rep. Paulsen also put Social Security and Medicare on the chopping block by voting to increase the deficit by at least $631 billion, on top of the $1.9 trillion deficit increase that resulted from the GOP tax scam.

“Rep. Erik Paulsen voted to permanently slash the State and Local Tax deduction that hard working families in Minnesota rely on to save thousands of dollars a year and put Medicare and Social Security on the chopping block by adding another $631 billion to the deficits Republicans have already racked up thanks to their tax scam,” said DCCC spokesperson Rachel Irwin.“Voters know that as long as Paulsen is in office, their access to affordable healthcare and retirement security are at risk.”

 

Voters Are Not Feeling Benefits From The Economy

Most voters are not feeling any benefits from the growing economy. That’s because Trump and Republicans’ policies are only benefiting those at the top. While wealthy CEOs and big corporations take in record profits, real wages for workers continue to decline. Now, Republicans want to make life even harder for working families by gutting vital safety net programs they rely on, in order to help pay for more tax cuts for the rich.

Most voters are not feeling any benefits from the growing economy. Trump’s economic policies only benefit those at the top.

CNBC: “‘The economy’ may be roaring, but for most voters their economy is not. The difference between those two things reflects the income inequality that has defined America’s modern economy. The positive news Wall Street savors — robust corporate profits, rising stock prices, surging output growth — deliver the greatest rewards to a relatively modest share of more affluent Americans. The rest don’t feel it all that much.” Continue reading “Voters Are Not Feeling Benefits From The Economy”

U.S. Steel potentially faces ‘largest work stoppage since 1986’

The following article by Joseph S. Pete was posted on the NWITimes.com website September 10, 2018:

United Steelworkers union members rally for a fair contract outside Gary Works earlier this month.

The United Steelworkers union is accusing U.S. Steel of “playing a dangerous game of chicken with the markets, steelworkers and America,” as the possibility of the largest strike in more than three decades looms over ongoing contract talks.

U.S. Steel employees across the country voted overwhelmingly to authorize a strike as the USW and U.S. Steel return to the bargaining table. The company has proposed a six-year contract it said would mean stability for families, a slight increase to 401(k) plans and a raise of 4 percent in the first year and 3 percent in each of the next two years.

The union objects to out-of-pocket health care costs that would in some cases reduce workers’ overall compensation, a switch from traditional pay raises to profit-sharing over the last three years in a six-year contract and a reduction in retiree benefits.

View the complete article here.

Trump Tax Law 2.0: Republicans Double Down On Tax Cuts For The Rich

The Trump tax law sent the deficit skyrocketing and gave a majority of the benefits to the richest Americans, while doing nothing for working families. Now, Republicans are doubling down on that unpopular law with more tax cuts for the wealthy.

The nonpartisan CBO says the deficit has skyrocketed by more than $200 billion over the last year, in large part because of Trump’s corporate tax cuts.

Axios: “The U.S. deficit grew by $222 billion from this time last year — reaching a total of $895 billion, according to the nonpartisan Congressional Budget Office… This increase was due mostly to the new Republican tax law and Congress’ routine decision to increase spending, which grew by 7% compared to revenue growth of only 1%. The CBO says the deficit will approach $1 trillion by the end of Fiscal Year 2019.”

Washington Post: “Corporate tax receipts fell 30 percent in the past 11 months, the CBO said, precipitated by the large reduction in rates from the massive tax overhaul passed by Congress last year.” Continue reading “Trump Tax Law 2.0: Republicans Double Down On Tax Cuts For The Rich”

Want to Know More About: The Trump Tax Cut and the Federal Deficit

Mika Brzezinski: “According To New Analysis From The Nonpartisan Congressional Budget Office, The Deficit Rose By $222 Billion In The First 11 Months Of 2018. That Is A 3 2% Jump From The Same Time Period Last Year.” BRZEZINSKI: “The federal deficit on track to hit $1 trillion before the end of the fiscal year two years earlier than expected. According to new analysis from the nonpartisan congressional budget office, the deficit rose by $222 billion in the first 11 months of 2018. That is a 32% jump from the same time period last year. That brings the total figure to $895 billion.” [Morning Joe, MSNBC, 9/12/18; VIDEO]

Mika Brzezinski: “The CBO Says The Surge Is Due To The New Republican Tax Law And An Increase In Government Spending.” BRZEZINSKI: “According to new analysis from the nonpartisan congressional budget office, the deficit rose by $222 billion in the first 11 months of 2018. That is a 3 2% jump from the same time period last year. That brings the total figure to $895 billion. The CBO says the surge is due to the new Republican tax law and an increase in government spending. Officials say the figures were somewhat inflated due to a timing shift for some payments by the government.” [Morning Joe, MSNBC, 9/12/18; VIDEO]

Our taxes are up 23 percent, thanks to Erik Paulsen

To the Editor:

Remember the Republican tax cut bill that Rep. Paulsen worked so hard to pass? It’s the one that massively cut taxes for corporations and the top 1 percent.

For us, it will mean a 23-percent increase in our taxable income and a 35-percent increase in our federal tax bill. We are retired and pay estimated taxes throughout the year. Our CPA did the arithmetic with the new tax bill and our 2017 income to figure out what we should be paying in estimated taxes for 2018 and he shared all the numbers with us. The result has been a 23-percent increase in our estimated tax payments; the final results are above.

We know this tax bill cut taxes for corporations and the top 1 percent; they are undoubtedly grateful to Rep. Paulson (sic). Wonder what it did for your 2018 tax bill.

Gwen and Mason Myers, Minnetonka
Minnetonka Sun-Sailor, September 10, 2018

Growth Has Lifted Counties That Voted for Trump. Mostly, It’s the Wealthy Ones.

The followoing article by Campbell Robertson and Jim Tankersley was posted on the New York Times website September 3, 2018:

President Trump’s economy has left the most distressed swaths of the country waiting for their share of the good times.

“You could feel things getting better and better,” said Tom Hughes, a homebuilder in St. Charles County, Mo., describing how his business began to rebound from the recession over the last few years.

ST. CHARLES, Mo. — The prosperity is apparent on the way into town: the 21-floor casino resort and spa on one side of the interstate, and on the other a freshly built retail quarter of boutiques, a brand-new Hilton hotel and a P.F. Chang’s. It unfolds from there along the highways heading west with more gleaming office parks and multiplying subdivisions.

This is not the Trump country of the popular imagination, the land of shuttered plants and the economically left behind. St. Charles County, in the suburbs northwest of St. Louis, has had the highest median household income in Missouri for several years.

But in 2016, Donald J. Trump won the county by 26 points, and he is still popular among people like Tom Hughes, a homebuilder whose business was rebounding from the recession before Mr. Trump took office.

View the complete article here.

Accountants warn tax reform could add up to April shock

The following article by Jim Spencer was posted on the Star Tribune website September 1, 2018:

Those who rely heavily on deductions could see a bill.

Every summer, Mike McClure looks at his income tax withholding. The Apple Valley man doesn’t want to give the government what he calls a “free loan” by having too much money withheld from his paycheck. He also doesn’t want to end up owing a bunch to the IRS when he files his taxes in April.

In the past, McClure’s system has led to little more than minor tweaks. This year, under the new federal tax law, he will owe the federal government $6,800 in April if he doesn’t radically alter his withholding for the remainder of the 2018 tax year.

“This whole tax-cut thing was sold to middle-class Americans as ‘we’re all going to get a tax cut,’ ” McClure said. “This wasn’t what I expected.”

View the complete post here.

REMINDER:  Rep. Erik Paulsen voted FOR this bill, which provides a large, permanent tax cut for corporation and a moderate one that expires for his constituents.  Most of that cut will be impacted by the other changes in the bill including a decrease in the allowed amount of property tax that can be deducted from personal taxes.

Help Wanted: Here’s Why America’s Labor Force Is Still Struggling — While Corporate Profits are Going Gangbusters

The following article by Jim Hightower was posted on the AlterNet website August 29, 2018:

The deeper issue is the overall lack of respect for workaday people.

Credit: Andreas Klinke Johannsen

Workers of America, rejoice!

As our nation of working stiffs celebrates Labor Day with backyard cookouts, an afternoon at the beach, rounds of golf, special sales at the mall or simply kicking back in a La-Z-Boy and doing several rounds of 12-ounce elbow bends, we can all take comfort in the happy news that our economy is whizzing! Yes, corporate economists exult that our US of A is enjoying the second-longest economic expansion on record; profits are off the charts; job creation continues to surge; wages are rising; and consumers are racking up record levels of purchases. What’s not to like about all that?

Two things. First, the economists’ claim about wage growth is a sham, covering up the shame that top corporate executives and major shareholders are grabbing nearly all of the economic gains produced by America’s entire workforce. The so-called nominal wage (i.e. the sum that workers see on their paychecks) has risen only 2.7 percent in the past year, a very mediocre result for the 82 percent of the labor force that is non-managerial worker bees.

View the complete article here.

Corporations Have Biggest Profit Gain In Six Years

Trump continues to build an economy focused on rewarding wealthy corporations at the expense of working families. The Trump tax law gave massive new tax breaks to big corporations and did nothing for workers. Now, while corporations just had their best profit gain in six years, real wages for workers continue to decline.

Corporations just had their best 12-month profit gain in six years largely thanks to the Trump tax law.

Wall Street Journal: “The Commerce Department said its broadest measure of profits across the U.S. economy rose 16.1% from the second quarter a year earlier, the largest year-over-year gain in six years. Taxes were a big part of the boost to the bottom line. Taxes paid by U.S. companies were down 33% from a year earlier, according to the new government data, or more than $100 billion at an annual rate.”

Continue reading “Corporations Have Biggest Profit Gain In Six Years”