The Lying Billion-Dollar Beneficiary of His Own Tax Plan: President Trump

  • The Lying Billion-Dollar Beneficiary of His Own Tax Plan: President Trump

The Lying Billion-Dollar Beneficiary of His Own Tax Plan: President Trump

He and other Republicans argued their plan's proposal for fewer tax brackets, lower rates, and a larger standard deduction would lower most Americans' taxes and lead fewer taxpayers to itemize their deductions. That is up from the original proposal in April of 15 per cent, but far lower than the top tax rates now faced by high-income earners of 39.6 per cent.

But a document published by Jonathan Swan of the news website Axios shows this is badly misleading - the plan would increase the standardized deductions available to taxpayers by 15% or less...

The plan delivers far more modest tax cuts to most other households - an average cut of $1,700 to households in 2027. Two of the most popular deductions are explicitly being retained - for mortgage interest payments and charitable contributions.

Some 3.2 million people claim the deduction statewide, with 85% of those residents making less than $200,000 a year, lawmakers said.

"At the center of that plan is a giant, beautiful, massive, the biggest ever in our country, tax cut", Mr. Trump said.

The 9News Verify team reviewed the tax reform plan to help you understand what changes might affect you and what's still up in the air.

However, the plan is expected to face strong opposition from Congress over concerns about its impact on the national deficit and the relative disadvantage Democratic constituents would face. It's still in process, so we don't know for sure where these cuts would end up, but according to Vox, the new framework is very reminiscent of Paul Ryan's last tax plan.

"Tax reform is about one thing: Restoring the hope of prosperity for American workers, their families, and, most importantly, the next generation", Paulsen said.

As a result, people who more recently purchased their houses pay disproportionately higher property taxes than long-term homeowners - and would be hurt more by Trump's plan to do away with deductions for property taxes.

Just as a few fearless Republicans prevented the repeal of the Affordable Care Act, will some say no to this reverse Robin Hood tax reform?

The Senate, meanwhile, unveiled draft budget legislation, a key precursor for any tax bill, setting out procedures that will allow the legislation to pass with a simple 51-vote majority rather than the usual 60-vote supermajority.

Gov. Andrew Cuomo said the tax overhaul plan and the proposal to eliminate state and local tax deductions from federal income taxes would be "devastating" to NY. It's the GOP's marquee legislative project this year, following the embarrassing failure on health care.

The White House document that spelled out Trump's plan signalled that the administration was aware of the potential problem but would leave addressing it up to Congress.

NY depends on higher-income earners for a significant share of state revenue to keep the budget balanced. To offset these massive reforms, which are projected to cost nearly $5 trillion over the next decade, services that benefit the very individuals who lose in this proposal will be cut. According to the draft released Friday, the Senate Finance Committee and House Ways and Means Committee will have until November 13 to draft tax bills that cost no more than $1.5 trillion in lost revenue. However, many experts say the administration's projections for economic growth are unrealistic.

Analysts and economists have disagreed over how much economic growth the tax cuts would likely generate, with many saying there is no clear evidence that cuts typically generate enough growth to offset the drop in revenue from the lower rates.