Tag Archives: Tax Plan

Donald Trump Unveils Tax Plan: Here Are the Details

NEW YORK, September 28, 2015– On Monday, Republican presidential candidate and front-runner Donald Trump unveiled his tax plan to “Make America Great Again” at a press conference in New York City.

According to the billionaire reality TV star, too few Americans are working, too many jobs have been shipped overseas, and too many middle class families cannot make ends meet.

Trump says his tax plan directly meets these challenges with four simple goals, in Trump’s own words:

  1. Tax relief for middle class Americans: In order to achieve the American dream, let people keep more money in their pockets and increase after-tax wages.
  2. Simplify the tax code to reduce the headaches Americans face in preparing their taxes and let everyone keep more of their money.
  3. Grow the American economy by discouraging corporate inversions, adding a huge number of new jobs, and making America globally competitive again.
  4. Doesn’t add to our debt and deficit, which are already too large.

Trump’s plan is progressive, but cuts taxes for all Americans. Trump’s plan contradicts his populist campaign rhetoric of raising taxes on the rich. In fact, even the rich get a big tax cut under Trump’s plan. Trump’s top bracket includes individuals making >$150,001 and couples making >$300,001 would pay a rate of 25 percent, which is a dramatic cut from the current top rate of close to 40 percent.

Who pays what? In Trump’s own words:

  1. If you are single and earn less than $25,000, or married and jointly earn less than $50,000, you will not owe any income tax. That removes nearly 75 million households – over 50% – from the income tax rolls. They get a new one page form to send the IRS saying, “I win,” those who would otherwise owe income taxes will save an average of nearly $1,000 each.
  2. All other Americans will get a simpler tax code with four brackets – 0%, 10%, 20% and 25% – instead of the current seven. This new tax code eliminates the marriage penalty and the Alternative Minimum Tax (AMT) while providing the lowest tax rate since before World War II.
  3. No business of any size, from a Fortune 500 to a mom and pop shop to a freelancer living job to job, will pay more than 15% of their business income in taxes. This lower rate makes corporate inversions unnecessary by making America’s tax rate one of the best in the world.
  4. No family will have to pay the death tax. You earned and saved that money for your family, not the government. You paid taxes on it when you earned it.

Trump claims the plan is revenue neutral and will be “fully paid for” by eliminating loopholes for the very rich and corporations. However, details on those loopholes are few and far between. In fact, Trump uses the word loopholes 7 times, but only gives shallow detail on one loophole he’d potentially revise- not eliminate, but revise.

How Trump pays for the cuts? In Trump’s own words:

  1. Reducing or eliminating most deductions and loopholes available to the very rich.
  2. A one-time deemed repatriation of corporate cash held overseas at a significantly discounted 10% tax rate, followed by an end to the deferral of taxes on corporate income earned abroad.
  3. Reducing or eliminating corporate loopholes that cater to special interests, as well as deductions made unnecessary or redundant by the new lower tax rate on corporations and business income. We will also phase in a reasonable cap on the deductibility of business interest expenses.

Trump says that his plan will simplify the code by making it to where nearly 50 percent of Americans no longer pay a penny of federal income tax. Currently, 51 percent of American households already pay no federal income tax. Trump’s plan also reduces the number of tax brackets from seven to four.

Donald Trump Unveils Tax Plan That Eliminates three tax brackets.
Donald Trump Unveils Tax Plan That Eliminates three tax brackets

 

For the full plan, click HERE.

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CPAC Straw Poll Winner Rand Paul Battles The Bush Machine—Goldwater Style

WASHINGTON, February 28, 2015—As the winner of the past three Conservative Political Action Committee’s (CPAC) Straw Polls, Senator Rand Paul excels at generating meaningful political and economic discussions among college students and young professionals. The same generation that is known for speaking in bewildering acronyms continues to gather in force to ask and to answer difficult questions that are essential to the life and liberty of all Americans. Their answers will ultimately determine the future of the nation.

The Senator’s most recent economic stand will endear him to anyone who has ever interfaced with the Internal Revenue Service. He promised to introduce the largest tax cut in American history. In his speech to attendees of CPAC, he mentioned that he is poised to propose a tax plan “that would get the IRS out of our lives.” He indicated his intention to cut taxes “for everyone from the richest to the poorest.”

“It’s time for a new way predicated on opportunity and freedom!” said Paul to a wildly supportive crowd. The Senator attacked America’s indiscriminate foreign aid policies, especially the large sums of money sent without the permission of taxpayers to countries that consider The United States an enemy. “Not one penny more to these haters of America!” said Paul.

His speech had the tenor of a well-run, focused campaign and was eerily similar to comments made by Senator Barry Goldwater exactly 50 years ago on the campaign trail leading up to his landmark GOP presidential nomination. “You cannot stop a man who has vowed to bury you by handing him a shovel,” said Goldwater, “By feeding and clothing his friends, while denying your friends the means to help protect you!” Goldwater believed that removing foreign aid would ultimately prevent wars.

Several members of the Young Jewish Conservatives attending CPAC this year specifically mentioned the foreign aid issue as a driving force behind their support for Rand Paul for president. Paul’s straight talk appeals to countless concerned Americans who are fed up with politics as usual, feel betrayed by the Party Machine, and fear that the United States is on an irreversible course similar to that of the Titanic—or Greece.

Two weeks prior to CPAC, the Students for Liberty (SFL) held its national conference in Washington, D.C. More than 1,700 students from across the world attended. The group was largely inspired by the ideas presented to them by Senator Paul’s father, Congressman Ron Paul. Now it is the fastest-growing political group on college campuses globally, and is surpassing both the College Democrats and College Republicans groups on American campuses.

Young Americans for Liberty (YAL) is another group inspired by the Paul family’s articulation of limited government principles. Many YAL members were active in the GOP for years before they understood the liberty message, realized how well it resonates, and committed to passionately fight to preserve it. The large presence of both SFL and YAL at CPAC is telling, and has seemingly eliminated the establishment hostilities doled out to them by fellow attendees when they were the minority at previous conferences. The young libertarians gladly swap testimonies of political enlightenment with a fervor nostalgic of a tent revival meeting. They are also getting elected to offices across the land, a clear sign that they are not going away anytime soon.

Freedom is popular, it seems, and the Bill of Rights is back en vogue with a new generation of American rebels. This energy threatens to change the go-along-to-get-along, aging Republican establishment, which is why the party profiteers are so quick to strike back at the resurgence of old school conservatism.

The same Rockefeller Republicans who sandbagged Goldwater after he won the GOP nomination from the floor are currently working financial and legal channels on behalf of Jeb Bush. The 2016 Republican nomination is seemingly fixed for the top fundraiser and his delegate-donors, a complete violation of the nominating process. Sources say Jeb Bush bussed hundreds of people to CPAC from their Washington offices just to fill seats during his speech and to presumably raise his standing in the straw poll. This effort did not succeed in preventing him from being handily booed every time his name was mentioned, including while he addressed the attendees who remained after a protest/walkout. His temporary seat-filling strategy was met with disdain by attendees who saved and spent their own money to attend the duration of the event and cast their ballots.

One of Paul’s leading critics is fellow Senator and former GOP nominee John McCain, a man who praises Goldwater with his lips while shunning everything he stood for by his actions.  Just two years ago, the 80-year-old McCain called Senators Paul and Cruz, as well as Congressman Justin Amash, “wacko birds.” He called their supporters, the Under 40 crowd that supports Paul’s limited government principles, “impressionable libertarian kids.”

Yet, the vibrant, liberty-leaning younger crowd that has wrestled its way into the GOP is the only fresh blood coursing through the Party’s very old veins. Perhaps the current Republican Party leadership is not the right body from which to expect kind words of “big tent” gratitude. The crowds who now stand with Rand don’t seem to care. Their vision is clear, and they know they will eventually outlive the generation that got the country into this mess in the first place. They seem to be ready to get to work.