Trump Tax Plan To Benefit “Top 1%” Most, Cost $2.4 Trillion, Middle Class To Pay More Taxes
by Tyler Durden
ZeroHedge.com
Sep 29, 2017
Based on what we already know about the proposed Trump tax reform, which can be summarized as follows:
collapse the seven individual income tax rates to three (12, 25, and 35 percent),
increase the standard deduction,
eliminate personal exemptions,
increase the child tax credit,
eliminate most itemized deductions,
repeal the individual and corporate alternative minimum taxes,
repeal the estate tax,
reduce the corporate tax rate from 35 to 20 percent, tax pass-through business income at a top rate of 25 percent,
allow businesses to fully expense investment in equipment and machinery for at least five years,
adopt a territorial tax system that would exempt the foreign earnings of US corporations from US tax
… moments ago the Tax Policy Center released its analysis of what the practical impacts of the Trump tax plan will be on the broader population. Below we present the key findings.
The tax plan will cost $2.4 trillion over the first decade and $3.2 trillion over the second dacade, on a static basis
The proposal would reduce federal revenues by $2.4 trillion over the first ten years and $3.2 in the second decade. This means that absent a matched deduction in spending, US deficit and debt will increase by a similar amount. This is a problem as a Senate GOP budget resolution unveiled on Friday only allows for adding $1.5 trillion to the debt, implying a revenue shortfall of just under $1 trillion.
The Rest…HERE
