Statement from NVCA President and CEO Bobby Franklin in response to President Trump reportedly calling for an end to carried interest during his meeting today with GOP tax leaders:
pic.twitter.com/h6uXKJs52N— NVCA (@nvca) February 6, 2025
Posted on 02/06/2025 8:20:17 PM PST by SeekAndFind
On Thursday, White House Press Secretary Karoline Leavitt, in the middle of an outdoor press gaggle, took a moment to lay out President Trump's tax priorities, most of which he talked about during the campaign.
.@PressSec lays out the tax priorities of the Trump administration:
✅ No tax on tips
✅ No tax on seniors’ Social Security
✅ No tax on overtime pay
✅ Renewing the Trump Tax Cuts
✅ Adjusting the SALT cap
✅ Eliminating special tax breaks for billionaire sports team owners
✅ Closing the carried interest loophole
✅ Tax cuts for Made in America projects“This will be the largest tax cut in history for middle class working Americans.”
pic.twitter.com/L6gaZUPFev— Rapid Response 47 (@RapidResponse47) February 6, 2025
Leavitt said:
These are the tax priorities of the Trump administration that the president has laid out for the members in that meeting today. No tax on tips, which is very obviously a very public campaign promise the president made. No tax on senior's Social Security. No tax on overtime pay. Renewing President Trump's 2017 middle-class tax cuts - again, these are the president's priorities - adjusting the SALT cap, eliminate all special tax breaks for billionaire sports team owners, close the carried interest tax deduction loophole, tax cuts for made in America products. This will be the largest tax cut in history for middle-class working Americans, and the president is committed to working with Congress to get this done.
She was referring to a lengthy meeting with Republican House leaders on Thursday, in which they discussed his priorities on the budget:
Some House GOP ldrs return to the Capitol after a 5 hour meeting with Trump about budget/reconciliation/tax cuts/spending cuts. Scalise: We narrowed the gap and we’re getting very close to getting this to budget committee— Chad Pergram (@ChadPergram) February 6, 2025
See Related: Trump Reveals More About Tax Plans That Will Make a Lot of People Happy, to Cheers at Nevada Rally
Let's take a closer look at some of these ideas.
1) No tax on tips. Not all that long ago tips were mostly cash, and probably were vastly under-reported. Nowadays, though, tips are generally added on to a credit or debit card transaction and thus are reported and reportable. This isn't really a big policy/funding issue, but one thing that this would likely cause would be incentivizing great service in American restaurants, as tips would suddenly become more lucrative.
2) No tax on seniors' Social Security. This seems only just, as the income that was partly confiscated to pay for Social Security was already taxed; but, admittedly, Social Security has much bigger problems than whether it is taxed or not.
3) No tax on overtime. Again, incentives; incentivize production and you'll get more of it. People always work hardest in their own self-interest, and tax-free time-and-a-half is a great incentive.
4) Renewing the Trump tax cuts from 2017. Why not cut further? Quibble: These should be described as "tax rate cuts," not "tax cuts," as the latter implies tax revenues would drop; that's not necessarily the case, as if the cuts land us on the right side of the Laffer Curve, revenues could increase.
5) The SALT cap. This is a cap on the amount of state and local taxes that may be deducted from federal taxes; it's not clear in which direction the president intends to adjust this cap.
6) Eliminate special tax breaks for billionaire sports team owners. Yes. Duh.
7) Close the carried interest tax deduction loophole. Carried interest is taxed generally at a lower interest than other financial instruments, but again, there's insufficient detail here to know exactly what's being proposed.
8) Tax cuts for American-made products. This is a good idea if on-shoring our industrial and business base is the goal. Incentives matter.
Can we talk about ending the income tax, replacing it (if at all) with a retail-level consumption tax, and eliminating the IRS altogether?
See Related: Argentina Dumping Their Version of the IRS - Can We Do That, Please?
So why tax cuts? Because incentives matter. Not only is it our money, not the government's, but having people keep more of their own money prompts them to do things with that money - like spend, invest, start new business ventures, dabble in creating new products - all things that drive economic activity and growth. Although the first point is enough of a reason to scale back the confiscation by force of part of each American's income - and if you don't believe the "by force" part, try not paying your taxes for a while, and see how long it takes the government to send men with guns out looking for you.
The trick now is to see what the president can get Congress to go along with - and that will not happen for some time yet.
Statement from NVCA President and CEO Bobby Franklin in response to President Trump reportedly calling for an end to carried interest during his meeting today with GOP tax leaders:
pic.twitter.com/h6uXKJs52N— NVCA (@nvca) February 6, 2025
It would be fantastic if all of these took effect immediately upon passage.
BTTT
How many liberals would spontaneously combust afterwards?
For most of President Trump’s life, he has done one thing: work. Yes, that four letter word that gets things done.
He never drinks, he never smokes. He does not need 8 hours of sleep every night. I remember the day after he won the 2016 election. What did he do? He went to work.
This time around, he is surrounded by solid, brilliant people who have taken his example of fighting against the enemies of America, foreign, and especially, domestic. And doing it all with a smile. President Trump threatens the leviathan of $$$$$ the Deep State has constructed. Constructed to funnel / steal from the hard working, every day American.
Thanks to Rush Limbaugh, there is an alternative to the Drive-By Media. Thanks to G-d, we still have a chance with President Trump.
These will not pass the congress
RE: These will not pass the congress
That’s why he is meeting with the GOP House first. In order to increase its chances of passing.
Don’t care one iota.
RE: #5.
Careful here, I DO NOT want to go back to subsidizing lib holes like CA and NYC!
RE: #5.
Careful here, I DO NOT want to go back to subsidizing lib holes like CA and NYC!
YES PLEASE!!
The income tax is an ABOMINATION, invading the private lives of Americans. Slavery.
The property tax may be considered worse. And dont even get me started on estate taxes.
“Can we talk about ending the income tax, replacing it (if at all) with a retail-level consumption tax, and eliminating the IRS altogether?”
Pretty obvious that this is on the table and not the final bill.
Laying the ground work for a budget when the CR expires in four weeks?
Related (maybe) - can we see some policy review of actions promoting/pushing/forcing digital currency?
It’s not OUR money, if THEY can take it and disappear it at their convenience.
Should become retroactive to noon on January 20th of this year. Precedent already set. Bill Clinton made a tax increase retroactive to when he was first elected.
“..How many liberals would spontaneously combust afterwards?...”
Not enough, unless of course, it was ALL of em.....
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.