Working Families Lose and Donald Trump Wins in GOP Tax Reform
It's not good for me, believe me." That's what President Donald Trump said Wednesday in Indiana about the new Republican tax plan, and you shouldn't believe him. It's a huge tax giveaway to the wealthy and corporations, and few people will benefit more than Donald Trump.
Since Trump refuses to release his tax returns, in defiance of 40 years of precedent, we can't know exactly how much he'll gain from the proposed GOP tax plan. But we know enough to highlight the biggest examples of self-dealing by the president.
The richest gift he hopes to give himself comes from cutting what he pays in taxes by more than one-third on income from the 500 separate business entities that together make up the Trump Organization. These partnerships and other so-called "pass-through" entities don't pay corporate taxes, but instead pass through any profits and losses to the owners (principally or exclusively Trump). Trump pays any tax due at individual rates on his personal return. He would reduce the top tax rate on this kind of income from 39.6 percent to just 25 percent.
This is the so-called "small business" tax cut Trump is trumpeting. But that's a sham. It's really just a tax handout to hedge fund managers, Wall Street lawyers, real estate magnates like Trump and other high-earners. Because 96 percent of real small business owners already pay taxes at 25 percent or less, they get no benefit from the rate cut. To emphasize, only 4 percent of business owners will see any benefit from this so-called "small business" tax cut. The big winners are high-rollers like Trump who now pay the top rate. Far from a "small business" tax cut, this "pass-through" tax cut has been rightly dubbed "The Trump Loophole."
All that Main Street businesses will get from this handout to millionaires are the crippling reductions in public services – such as street repairs and small business loans – that would come from losing between $390-$660 billion in federal tax revenue over 10 years.
https://www.msn.com/en-us/news/opinion/working-families-lose-and-donald-trump-wins-in-gop-tax-reform/ar-AAszHfi?li=BBnb7Kz&ocid=edgsp
= new reply since forum marked as read
