President Trump's tax plan: Here's what it includes

Trump has put out a tax plan for Congress to consider.

It seems to cut and consolidate the income tax system.

Looks like a "3 rate" system of 10% - 25% - 35%, and it increases the standard deduction (for some?).

And it looks like "Business" tax goes down to 15%.

And it addresses the problem of companies holding profit money overseas.

Well ?


President Trump's tax plan: Here's what it includes

President Trump’s top economic advisers laid out an ambitious tax plan Wednesday afternoon that the administration contends will simplify the process for average Americans and “stimulate” business investment.

Chief economic adviser Gary Cohn and Treasury Secretary Steve Mnuchin unveiled the first official details -- printed on a single sheet of paper -- of a plan Cohn called “the most significant tax reform legislation since 1986, and one of the biggest tax cuts in American history.”

The document is mostly a series of broad principles under three headings: Goals for Tax Reform, Individual Reform and Business Reform. But there are a series of specifics laid out, including:

Thanks for posting. I like the business tax rate of 15% as it puts us in a more competitive position for world markets... I would have liked the bottom bracket to have been 5% simply for the retired folks and the working poor.. At least there is something now to consider but alas I have little faith that whatever finally comes out will be simple and fair for everyone.

I would like to see active duty military E-6 and below to be exempt for federal and state taxes.

It would give them a much needed break since military pay at the lower ranks is ridiculous. Active duty members should not have on rely on food stamps and other social services just to get by.

Would reduce seven tax brackets to three tax brackets: 10 percent, 25 percent and 35 percent. The previous top tax bracket was 39.6 percent.

Doubles the standard deduction for a married couple to $24,000. This change also means more couples will no longer need to itemize deductions, making the process of filing taxes simpler.

Repeal 3.8 percent ObamaCare tax “that hits small businesses and investment income.”

The repeal of the Affordable Care Act tax comes as Republicans are trying to replace the law all together as part of a massive health care overhaul.
Lowers business tax rate from 35 percent to 15 percent. Institutes “one-time tax on trillions of dollars held overseas.”

Repeals the estate tax, also known as the “Death Tax,” which applies to the transfer of property of a deceased person.

Repeals the Alternative Minimum Tax, which was enacted as a penalty on wealthy individuals.

While I'd like to have seen the income tax abolished all together.

Repealed both the death tax and the alternative minimum tax.

Best thing I have seen in a while.

a reply to: 727Sky

Of course it won't be simple or fair to everyone.

Far too many people need the tax code to remain thousands of pages long that most people either can't understand or don't take the time to understand, so there's about a snowball's chance in hell of it ever getting to the point of being something your average Joe can not only pick up, but also easily understand.

a reply to: xuenchen

Apparently this tax plan will cost the US Government $4 trillion over the next few years (I've heard reports at costing the gov. only $2 trillion, and others stating it as high as $6 trillion).

Not sure how they will finance this.

It might force the government to borrow MORE money, discouraging economic growth and private investment.

Not to mention the Democrats in Congress will probably never vote for it anyway. Just my quick and dirty assessment - I haven't thoroughly reviewed how the tax plan is supposed to be implemented but from a surface level, those are my concerns.

a reply to: FamCore

Legalize and financing is no longer a problem for much really

No surprise the tax plan laid out it's to benefit the wealthy and screw the rest of America over. Just like when that other idiot Reagan was in office.

a reply to: xuenchen

Institutes “one-time tax on trillions of dollars held overseas.”

A One Time Tax?

Think that will be effective?

originally posted by: D8Tee
a reply to: xuenchen

Institutes “one-time tax on trillions of dollars held overseas.”

A One Time Tax?

Thing that will be effective?

I believe the purpose of that is to incentivize folks to bring that money back on shore

originally posted by: buster2010
No surprise the tax plan laid out it's to benefit the wealthy and screw the rest of America over. Just like when that other idiot Reagan was in office.

This is to make us competitive with all those so-called Euro-socialist nations you put up on pedestals. Their corporate tax rates are 24, 27 and 22% respectively.

a reply to: ketsuko

A lower corporate tax rate might make businesses more competitive with countries around the world, but it also has the wealthy salivating for very good reasons

Huff Post: Trump’s Tax Proposal Would Be Ridiculously Good For Rich People

Another article from "Common Dreams": 'Goldman Sachs Populism': Trump Tax Plan Benefits Ultra-Wealthy—Like Him

originally posted by: FamCore
a reply to: ketsuko

A lower corporate tax rate might make businesses more competitive with countries around the world, but it also has the wealthy salivating for very good reasons

Huff Post: Trump’s Tax Proposal Would Be Ridiculously Good For Rich People

Another article from "Common Dreams": 'Goldman Sachs Populism': Trump Tax Plan Benefits Ultra-Wealthy—Like Him

Yeah, you're right, let's choke off the economy to stick it to rich people. I don't need a job and neither do you!

No one needs a job! We wouldn't want the rich to benefit from that after all ...

a reply to: xuenchen

As a middle class tax payer, I like it. It saves me money and time, both of which are important to me.

The "cost" isn't really a cost at all, by the way. If your salary is cut at work for some reason, you don't say "that cut is costing me money," you say "My salary was cut and I'm making less." That's what's going to happen here... the feds will be taking in less money under this plan. That's not a bad thing in any way, assuming they cut enough programs and waste to offset their reduced income levels.

a reply to: ketsuko

We wouldn't want the rich to benefit from that after all ...

Ahh, so it's the rich people who have been going through such a tough time since the recession, okay now I follow your logic.

As a matter of fact, the politicians, lobbyists and "private donors" who have benefited off of this giant bubble are the primary reason so many others are struggling.

The string pullers have not allowed a correction to happen, now everything is an over-inflated bubble (stock market, housing market for 2 examples), and while many of them have been lining their pockets, Americans with lower income or from the so-called "Middle Class" have had home foreclosures, layoffs, and whathaveyou.

So I to reiterate, you're saying the rich people have been doing their part in "helping our economy and the rest of us", and they deserve to benefit the most from Trump's tax plan?

You do realize corporate welfare is RIDICULOUS when you cosider the ten million dollar plus bonuses Exxon and other corporate giant-executives give themselves. Why the hell should we be letting an oil company receive enormous corporate welfare benefits each year if that is the case. It's ludicrous.

a reply to: ketsuko

let's choke off the economy to stick it to rich people.

LOL the wealthy elite have been sticking it to the masses left and right... what are you talking about?

a reply to: buster2010

Actually, this is in Trump's plan:

Eliminate targeted tax breaks that mainly benefit the wealthiest taxpayers.

I hope this part passes:

Repeal the Death Tax

People should not be taxed again on money for which their parents already paid taxes.

a reply to: xuenchen

How does the CBO score it? Trump gave a couple people 2 days to make a plan and then told them to not worry about deficits. I'm skeptical.

a reply to: FamCore

Not to mention the Democrats in Congress will probably never vote for it anyway.

And neither should the Republicans if they want to get re elected in the midterms. They must be pleased over at the DNC with this talking point for their coming campaigns. Preferential treatment for the wealthy elite seldom goes over well with the American working man.

When has "trickle down economics" ever worked the way the GOP tells us it will?

originally posted by: FamCore
a reply to: xuenchen

Apparently this tax plan will cost the US Government $4 trillion over the next few years (I've heard reports at costing the gov. only $2 trillion, and others stating it as high as $6 trillion).

Agreed.

In addition, I'm not sure that reducing the taxes on Wal-Mart, Exxon-Mobile, Apple, Berkshire-Hathaway, United Health, CVS, Ford, etc are going to magically change into wages. Wal-Mart is #1 in global revenue (consolidated) and they are notorious for their poor treatment of workers and rock-bottom wages. While it might affect a few small businesses' ability to hire other workers, the money from the reduced tax is more likely to go into something else.