As I understand it, it’s a 20% reduction that’s been proposed by Romney.
US income is roughly 2.5 trillion dollars. So, there’s no way a tax cut could cut 5 trillion dollars. They only make 2 and a half trillion to begin with.
Someone needs to bust the myth of
federal tax rate change = federal tax receipts change
Time is the basis for/ to achieve the full reduction amount. If the Bush tax cuts are extended it will likely be or 3 years or 5 years, etc. Some set time period, and it would indeed make a possible difference of 5 Trillion dollars in 5 years. It is imperative to know what the time period is for any additions or tax cuts.