The corporate tax rate cut is going to crank up capital investment and get our economy growing much faster. The 35% corporate tax rate we have now is incredibly stupid and sets up an economic choke point right inside corporations where investment decisions are made. Our current high corporate tax rate drives business activity overseas and cuts investment here in America. The corporate tax cut should easily pay for itself through stronger economic growth, more jobs, and more tax revenue from a bigger economy and more people working.
It’s more uncertain whether a tax cut for individuals will pay for itself but it will increase economic growth, and eliminating the deduction for state income taxes will get rid of a big subsidy for excessive state spending on bureaucracies, lawyers, and consultants in states like CA and NY. That’s all good and it will make our economy more productive and efficient by eliminating subsidies for useless government activity. This tax reform bill will be a big win for the American people, Trump, and the GOP.