Tag: GOP tax cuts for the rich

Ethics watchdog: GOP tax bill written to cut Trump’s taxes

The following article by Brett Samuels was posted on the Hill website November 2, 2017:

A government ethics watchdog argued Thursday morning that the newly released Republican tax bill was written to lower President Trump’s taxes.

Citizens for Responsibility and Ethics in Washington, a nonprofit that aims to reduce the influence of money in politics and foster government accountability, cited the bill’s intention to repeal the alternative minimum tax.

“In 2005, the one year of Trump’s taxes we’ve seen, the Alternative Minimum Tax cost him an extra $31 million,” the organization, which is linked to Democratic operative David Brock, tweeted. “This bill was written for him.” Continue reading “Ethics watchdog: GOP tax bill written to cut Trump’s taxes”

Winners and losers in the GOP tax plan

The following article by Heather Long was posted on the Washington Post website November 2, 2017:

House Republican leaders on Thursday, Nov. 2 proposed legislation that would overhaul the U.S. tax code. Here’s what you need to know about it. (Monica Akhtar/The Washington Post)

Republicans unveiled their bill to overhaul the U.S. tax codeThursday morning, and there were some major winners and losers.

The top GOP tax writer, House Ways and Means Committee Chairman Kevin Brady (R-Tex.), foreshadowed just how hard it would be to craft the biggest rewrite of the tax code since 1986 when he said in August: “Tax reform is hard. It’s the challenge of a generation.”

Here’s a rundown of who is happy and who isn’t as the details emerge regarding the “Tax Cuts and Jobs Act,” the centerpiece of President Trump’s “MAGAnomics” agenda. Continue reading “Winners and losers in the GOP tax plan”

Governor Dayton Urges President, Republicans to Abandon Proposal that Would Eliminate Tax Deduction for 900,000 Minnesota Families

Tax proposal from President Trump, Congressional Republicans would eliminate tax deduction for one-third of Minnesota taxpayers, hurting residents in every county (as detailed below)

While 80 percent of the benefits would go to the top 1 percent, 900,000 Minnesota families would lose an average $12,000 tax deduction every year; totaling over $12 billion statewide

Credit: REUTERS/Eric Miller

ST. PAUL, MN – Today, Governor Mark Dayton called on President Donald Trump and Republican members of Congress to abandon their tax proposal which would eliminate on an average a $12,000 tax deduction for 900,000 primarily middle-class Minnesota families. These tax deductions provide hard-working Minnesota families about $12 billion in tax benefits every year.

The following is a statement from Governor Mark Dayton:

“The US Congress’ Republican Senators and Representatives and President Trump are striking another blow against our country’s future economic prosperity, by cutting taxes, especially for the rich, large corporations, and powerful special interests. Over half of their proposed tax cuts would go to the wealthiest 1 percent of Americans, whose annual incomes total more than $730,000 per year. Continue reading “Governor Dayton Urges President, Republicans to Abandon Proposal that Would Eliminate Tax Deduction for 900,000 Minnesota Families”

Podcast: The Obstacles Facing the GOP Tax Plan

The following post and podcast by David Lerman and Catalina Camia was posted on the Roll Call website October 30, 2017:

Capitol-Ink-10-30-17

Budget Tracker Extra, Episode 37

Republicans are quickly trying to pass a tax overhaul plan but indications are that obstacles are around every corner, say CQ Tax Editor Catalina Camia and Budget Editor Peter Cohn, who explain the complications facing the plan.

View the post here.

Supply-Side Follies: Wasteful Tax Cuts Will Not Boost the Economy

The following article by Christian E. Weller was posted on the Center for American Progress website October 26, 2017:

This fall’s policy agenda has been dominated by talks about tax cuts, nominally disguised as tax reform. The Trump administration and congressional leaders have so far provided few details, but the existing principles and proposal suggest that the final product will include massive tax cuts for top income earners and corporations. The proposal includes little or no tax relief for middle- and low-income Americans. Proponents argue that the tax cuts will translate into a boost to economic growth because the additional money to the wealthy and corporations will trickle down in the form of more money for investments, as well as lower costs of investments. Greater business investments, the argument goes, will lead to accelerated innovation, which will lead to more jobs and higher living standards.

The arguments in support of supply-side tax cuts do not hold up. Past tax cuts, such as the supply-side tax that heavily favored the wealthy during the 1980s and 2000s, showed neither measurable acceleration of economic growth nor clear improvements for workers. There was also no indication of a worsening economy after taxes on the wealthy increased in the early 1990s and in 2012. (see Table 1) Continue reading “Supply-Side Follies: Wasteful Tax Cuts Will Not Boost the Economy”

For Republican Leaders in Congress, the Headaches Keep Mounting

The following article by Jonathan Martina and Alexander Burns was posted on the New York Times website October 5, 2017:

Mitch McConnell, the Senate majority leader, and other Republican leaders in Congress are facing pressure from all sides of their party leading up to next year’s midterm elections. Credit Pete Marovich for The New York Times

WASHINGTON — Republican leaders in Congress are under attack from all sides of their own party, battered by voters from the right and left, spurned by frustrated donors and even threatened by the Trump White House for ineffective leadership and insufficient loyalty.

Since last week, Senate Republicans lost one of their own when Roy S. Moore, the firebrand former state judge, trounced Senator Luther Strange in a Senate runoff in Alabama. The retirement of Senator Bob Corker of Tennessee kicked off a potentially fratricidal fight for his seat, with the establishment’s preferred successor, Gov. Bill Haslam, declining to run on Thursday. Continue reading “For Republican Leaders in Congress, the Headaches Keep Mounting”

Tax ‘reform’ for the rich: Trump’s plan abandons his working-class supporters

The following article by Prof. Steven Pressman was posted on the Conversation website September 28, 2017:

President Donald Trump heralded his new tax plan as relief for the middle class, revenue-neutral and a “middle-class miracle.”

Yet the proposal, announced on Sept. 27, does none of these things. Instead, it is a scam not fit to become law of the land because it will enrich the rich, explode the deficit and hurt many middle-class Americans. This may sound like strong language, particularly for an economist, but I’m going to show you why this is no exaggeration.

While some details remain up in the air, Trump has proposed three main changes to our tax code. He wants to repeal the estate tax, simplify the individual tax code and slash the rates corporations pay. Let’s consider each in turn. Continue reading “Tax ‘reform’ for the rich: Trump’s plan abandons his working-class supporters”

Trump aides sell tax plan with Pinocchio-laden claims

The following article by Glenn Kessler was posted on the Washington Post website September 29, 2017:

The wealthiest Americans pay the largest proportion of taxes. Consequently, any tax cut, unless very carefully tailored, will benefit them. (Meg Kelly/The Washington Post)

“The wealthy are not getting a tax cut under our plan.”
— Gary Cohn, director of the White House Economic Council, in an interview on ABC’s “Good Morning America,” Sept. 28, 2017

“The numbers are about a trillion and a half to the baseline. But more importantly, it’s a trillion dollars to policy, which is the right way of looking at it. We think there will be $2 trillion of growth. So we think this tax plan will cut down the deficits by a trillion dollars.”
— Treasury Secretary Steve Mnuchin, in an interview on Fox News, Sept. 28 Continue reading “Trump aides sell tax plan with Pinocchio-laden claims”

Trump Tax Plan Benefits Wealthy, Including Trump

The following article by Binyamin Appelbaum was posted on the New York Times website September 27, 2017:

President Trump spoke about his administration’s tax reform plan in Indianapolis on Wednesday. Credit Tom Brenner/The New York Times

WASHINGTON — The tax plan that the Trump administration outlined on Wednesday is a potentially huge windfall for the wealthiest Americans. It would not directly benefit the bottom third of the population. As for the middle class, the benefits appear to be modest.

The administration and its congressional allies are proposing to sharply reduce taxation of business income, primarily benefiting the small share of the population that owns the vast majority of corporate equity. President Trump said on Wednesday that the cuts would increase investment and spur growth, creating broader prosperity. But experts say the upside is limited, not least because the economy is already expanding. Continue reading “Trump Tax Plan Benefits Wealthy, Including Trump”