Posted on 08/22/2017 2:29:01 PM PDT by Oldeconomybuyer
Congressional Republicans, seeking to address the complaints of small businesses, are floating changes to their controversial proposal to eliminate business tax deductions for debt interest payments, business lobbyists said on Tuesday.
A top U.S. Republican on tax policy acknowledged that modifications are in the works, but did not provide details.
The debt interest proposal, long seen by Republican policymakers as necessary to help drive economic growth, is backed by large companies with ready access to equity financing that they could substitute for debt if eliminating the interest deduction made issuing debt too costly. Debt-dependent small business owners, farmers and ranchers don't have that luxury.
Businesses lobbyists said the panel's lawmakers have quietly agreed to focus on exemptions for small businesses, including farmers and ranchers, and an exemption for land.
Independent analysts say that eliminating the interest deduction would raise more than $1 trillion in federal revenues.
Republicans want to cut the corporate income tax rate to 20-25 percent from 35 percent. But they have been hard-pressed to pay for such a cut since jettisoning a border adjusted import tax that would have raised more than $1 trillion.
(Excerpt) Read more at reuters.com ...
One sure fire way to shut the economy down would be to eliminate the ability to write off interest. Interest means that the company is making an investment, and the investment is what allows them to compete. Eliminate the ability to write off the interest and you are essentially telling the businesses they don’t need to grow or compete. The jobs dependent on those investments dry up, both with the buyer, but especially with the seller. How about we just cut government $1Trillion to pay for it?
10% hard, pure flat income tax for everyone. No deductions, credits, or loopholes.
Agree 100% on writing off interest. Moreover, the idea that tax cuts must be “offset” is pure DC speak, what happened to Trump’s 15% business tax mandate, and the GOP has not SOLD the idea that tax policy drives economic growth is political malpractice.
I smell another McConnell / Ryan sellout.
Here comes a “carbon tax” offset.
Art Laffer was just talking about it.
Its a “bone” to throw to the Democrats.
The stupidity is astounding.
[Moreover, the idea that tax cuts must be “offset” is pure DC speak,]
Its to get a carbon tax passed. Both sides want it.
Patriots, while the federal budget always needs to be discussed, please bear in mind that the Founding States had likely not imagined the corruption associated with the federal budget that we now have.
Briefly stated, previous generations of state sovereignty-respecting Supreme Court justices had clarified that Congress is prohibited from appropriating taxes in the name of state power issues, essentially any issue that Congress cannot justify under its constitutional Article I, Section 8-limited powers.
"Congress is not empowered to tax for those purposes which are within the exclusive province of the States."Justice John Marshall, Gibbons v. Ogden, 1824.
From the accepted doctrine that the United States is a government of delegated powers, it follows that those not expressly granted, or reasonably to be implied from such as are conferred, are reserved to the states, or to the people. To forestall any suggestion to the contrary, the Tenth Amendment was adopted. The same proposition, otherwise stated, is that powers not granted are prohibited [emphasis added]." —United States v. Butler, 1936.
The problem is that corrupt, post-17th Amendment ratification career federal lawmakers have been exploiting low-information voters to win their votes. Lawmakers exploit such voters by promising them spending programs that the voters evidently do not understand that the feds have no express constitutional authority to establish.
In fact, since Pres. Trump probably still isn’t up to speed with the Court's clarification of Congress’s limited power to appropriate taxes, the first tax bill that Trump signs into law will probably not be anywhere near compliant with Congress’s constitutional Article I, Section 8-limited powers.
From related threads ...
Based on the Court’s clarification of Congress’s limited power to appropriate taxes, here is a rough approximation of how much taxpayers should be paying Congress annually to perform its Section 8-limited power duties imo.
Given that the plurality of clauses in Section 8 deal with defense, and given that the Department of Defense budget for 2015 was $500+ billion, I will generously round up the $500+ billion figure to $1 trillion (but probably much less) as the annual price tag of the federal government to the taxpayers, not the $5 trillion annual budget that was being projected for the feds before Trump was elected.
In other words, the corrupt media should not be reporting multi-trillion dollar annual federal budgets in budget discussions without mentioning the Supreme Court’s clarification of Congress’s limited power to appropriate taxes.
In fact, patriots need to get Trump up to speed on the idea that a good percentage of the federal taxes that he, his rich friends, and possibly all other taxpayers have been paying throughout their lives are probably unconstitutional.
Patriots need to work with Trump to put a stop to unconstitutional federal taxes. Once unconstitutional federal taxes are stopped the states will probably find a tsunami of new revenues (higher state taxes) that they won’t know what to do with, establishing their own healthcare and retirement social spending programs for starters.
Finally, although Trump is accomplishing a LOT as president, it remains that since the uniparty Congress wants to get rid of him that his first two years in office are arguably just practice. That being said ...
Drain the swamp sewer! Drain the sewer!
Remember in November 2018 !
Since corrupt Congress is the biggest part of the sewer (imo) that Trump wants to drain, it is actually up to patriots to drain the sewer in the 2018 elections, patriots supporting Trump by electing as many new members of Congress as they can who will support Trump.
In the meanwhile, patriots need to make sure that there are plenty of Trump-supporting candidates on the primary ballots.
Patriots need to qualify candidates by asking them why the Founding States made the Constitution’s Section 8 of Article I; to limit (cripple) the federal government’s powers.
Patriots also need to make sure that candidates are knowledgeable of the Supreme Court's clarifications of the federal government’s limited powers listed above.
Also, unlike incumbent members of Congress who wrongly remained silent while misguided state officials abridged the constitutionally enumerated rights of citizens during the lawless Obama Administration, patriots need to make sure that candidates on the 2018 primary ballots commit to the following.
Candidates need to commit to making and enforcing 14th Amendment-related laws to prosecute misguided state officials who use state powers to abridge constitutionally enumerated protections, 1st Amendment-protected religious expression and free speech for example, such actions prohibited by Section 1 of the 14th Amendment.
”14th Amendment, Section 1: All persons born or naturalized in the United States and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside. No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States [emphasis added]; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws.”
Again, drain the sewer! Drain the sewer!
govt laws are made to help and protect the big donors...
One big reason that's true: Lack of term limits.
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