TAX REFORM THAT WILL MAKE AMERICA GREAT AGAIN

Donald Trump's web site ^

[SoFloFreeper]

The Goals Of Donald J. Trump’s Tax Plan

Too few Americans are working, too many jobs have been shipped overseas, and too many middle class families cannot make ends meet. This tax plan directly meets these challenges with four simple goals:

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.

The Trump Tax Plan Achieves These Goals

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.

The Trump Tax Plan Is Revenue Neutral

The Trump tax cuts are fully paid for by:

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.

DETAILS OF DONALD J. TRUMP’S TAX PLAN

America needs a bold, simple and achievable plan based on conservative economic principles. This plan does that with needed tax relief for all Americans, especially the working poor and middle class, pro-growth tax reform for all sizes of businesses, and fiscally responsible steps to ensure this plan does not add to our enormous debt and deficit.

This plan simplifies the tax code by taking nearly 50% of current filers off the income tax rolls entirely and reducing the number of tax brackets from seven to four for everyone else. This plan also reduces or eliminates loopholes used by the very rich and special interests made unnecessary or redundant by the new lower tax rates on individuals and companies.

The Trump Tax Plan: A Simpler Tax Code For All Americans

When the income tax was first introduced, just one percent of Americans had to pay it. It was never intended as a tax most Americans would pay. The Trump plan eliminates the income tax for over 73 million households. 42 million households that currently file complex forms to determine they don’t owe any income taxes will now file a one page form saving them time, stress, uncertainty and an average of $110 in preparation costs. Over 31 million households get the same simplification and keep on average nearly $1,000 of their hard-earned money.

For those Americans who will still pay the income tax, the tax rates will go from the current seven brackets to four simpler, fairer brackets that eliminate the marriage penalty and the AMT while providing the lowest tax rate since before World War II:

Income Tax Rate	Long Term Cap Gains/ Dividends Rate	Single Filers	Married Filers	Heads of Household
0%	0%	$0 to $25,000	$0 to $50,000	$0 to $37,500
10%	0%	$25,001 to $50,000	$50,001 to $100,000	$37,501 to $75,000
20%	15%	$50,001 to $150,000	$100,001 to $300,000	$75,001 to $225,000
25%	20%	$150,001 and up	$300,001 and up	$225,001 and up

With this huge reduction in rates, many of the current exemptions and deductions will become unnecessary or redundant. Those within the 10% bracket will keep all or most of their current deductions. Those within the 20% bracket will keep more than half of their current deductions. Those within the 25% bracket will keep fewer deductions. Charitable giving and mortgage interest deductions will remain unchanged for all taxpayers.

Simplifying the tax code and cutting every American’s taxes will boost consumer spending, encourage savings and investment, and maximize economic growth.

Business Tax Reform To Encourage Jobs And Spur Economic Growth

Too many companies – from great American brands to innovative startups – are leaving America, either directly or through corporate inversions. The Democrats want to outlaw inversions, but that will never work. Companies leaving is not the disease, it is the symptom. Politicians in Washington have let America fall from the best corporate tax rate in the industrialized world in the 1980’s (thanks to Ronald Reagan) to the worst rate in the industrialized world. That is unacceptable. Under the Trump plan, America will compete with the world and win by cutting the corporate tax rate to 15%, taking our rate from one of the worst to one of the best.

This lower tax rate cannot be for big business alone; it needs to help the small businesses that are the true engine of our economy. Right now, freelancers, sole proprietors, unincorporated small businesses and pass-through entities are taxed at the high personal income tax rates. This treatment stifles small businesses. It also stifles tax reform because efforts to reduce loopholes and deductions available to the very rich and special interests end up hitting small businesses and job creators as well. The Trump plan addresses this challenge head on with a new business income tax rate within the personal income tax code that matches the 15% corporate tax rate to help these businesses, entrepreneurs and freelancers grow and prosper.

These lower rates will provide a tremendous stimulus for the economy – significant GDP growth, a huge number of new jobs and an increase in after-tax wages for workers.

The Trump Tax Plan Ends The Unfair Death Tax

The death tax punishes families for achieving the American dream. Therefore, the Trump plan eliminates the death tax.

The Trump Tax Plan Is Fiscally Responsible

The Trump tax cuts are fully paid for by:

1. Reducing or eliminating deductions and loopholes available to the very rich, starting by steepening the curve of the Personal Exemption Phaseout and the Pease Limitation on itemized deductions. The Trump plan also phases out the tax exemption on life insurance interest for high-income earners, ends the current tax treatment of carried interest for speculative partnerships that do not grow businesses or create jobs and are not risking their own capital, and reduces or eliminates other loopholes for the very rich and special interests. These reductions and eliminations will not harm the economy or hurt the middle class. Because the Trump plan introduces a new business income rate within the personal income tax code, they will not harm small businesses either.
2. A one-time deemed repatriation of corporate cash held overseas at a significantly discounted 10% tax rate. Since we are making America’s corporate tax rate globally competitive, it is only fair that corporations help make that move fiscally responsible. U.S.-owned corporations have as much as $2.5 trillion in cash sitting overseas. Some companies have been leaving cash overseas as a tax maneuver. Under this plan, they can bring their cash home and put it to work in America while benefitting from the newly-lowered corporate tax rate that is globally competitive and no longer requires parking cash overseas. Other companies have cash overseas for specific business units or activities. They can leave that cash overseas, but they will still have to pay the one-time repatriation fee.
3. An end to the deferral of taxes on corporate income earned abroad. Corporations will no longer be allowed to defer taxes on income earned abroad, but the foreign tax credit will remain in place because no company should face double taxation.
4. Reducing or eliminating some 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.

[SoFloFreeper]

I hear a lot of whining about "no specifics" from Trump.

People obviously just listen to the media.

Here are specifics.

[Lopeover]

I would love this! Thanks!

[metmom]

That works for me.

That alone should win him the election.

I hope maybe it can sway some people I know.

[CGASMIA68]

btt

[goodnesswins]

ENDS the DEATH TAX, too!

[jcon40]

I see nothing on the Capital Gains Tax.

Obama had raised from I believe 14% to 25%. ?

Eliminating portions of this tax is what injects capital into the economy IMHO

[i_robot73]

WRONG, wrong, wrong. Course, the question that is *never* answered: At what % of income tax does ‘slavery’ exist? What % of MY life\property is owned by the govt\another??

NO person should ‘win’ over another (IE: Pay ZERO) when, in fact, it’s the lower economic bracket(s) that utilize the most of govt ‘services’.

Simplify by ELIMINATING. Follow the Constitutional constraints and make the State/territories pay their % share.

I’ve been admiring the rest of his plans. This is the one completely off base, IMO.

[AFreeBird]

Cap gains are listed in the bracket table

[T. P. Pole]

I am not fond of the idea of having even more folks pay zero. And to call them winners? I think every person needs to have skin in the game, even if it is under 1% of your income. 100% should pay something.

Otherwise, I like the other ideas. Lower corp taxes, repatriation holiday, good changes those are.

[UnwashedPeasant]

Terrible tax plan, except for the corporate part.

He increases the percentage of people with no skin in the game. Now 50% of the public are completely in the wagon that the rest of us push.

It is still a Karl Marx-designed progressive tax, topping at a huge 20% that punishes the most productive workers.

It keeps the corrupt IRS as-is and tinkers with the rate tiers.

He has the opportunity to think big with something like the Fair Tax. Instead, it is Status Quo!

[SoFloFreeper]

Yes

[central_va]

An across the board 20% import tariff balance the budget tomorrow. It promotes domestic manufacturing also. Win-win. It is the best consumption tax of all.

[spintreebob]

No minimum wage increase.

Working poor should not pay Fed taxes. No FICA, no Social Security, No Medicare. The employer’s share should go to the working poor.

Working poor wages are better than $15/hr with no negative impact on employers or consumer prices. Win-Win.

NO EITC! Half of EITC goes to working poor who now don’t need it. Half of EITC is fraud which can only be solved by killing the program.

Cut SSI disability eligibility. Too many people are getting on SSI because they are allergic to work.
Cut who can get Food Stamp eligibility, Medicaid eligibility.

Tax cuts do stimulate the economy. This is the way to do it.

[jcon40]

Thanks, I missed that.

I like it

[plain talk]

This plan simplifies the tax code by taking nearly 50% of current filers off the income tax rolls entirely

Not a good idea. More people should be in the tax system and have skin in the game ... not less.

[lewislynn]

it’s the lower economic bracket(s) that utilize the most of govt ‘services’

I'm tired of that line. Can you explain what federal government services are used more by low income than higher wage people?

Low income people pay a huge tax and it can't be put on a IRS form. They pay through the nose in the form of stagnant and even reductions in real wages coupled with and compounded by hyper-inflation/cost of living increases.

BTW, food and energy, the real cost of living, isn't even calculated in the inflation index.

All of that printed money being pumped into the stock markets etc. causes inflation. Who is hurt most by the inflation making the rich richer?

[hawaiianninja]

Way better than what we got now. I’ll take it as a good start and a good springboard for his re-election! :)

[mumblypeg]

You want to return to the original constitutional restraints, and eliminate the Federal income tax on individual wage earners altogether. Getting from here back to there—not so easy. Where to start?

“NO person should win over another (IE pay ZERO) when, in fact, it’s the lower economic bracket(s) that utilize most of the govt ‘services.’

Agreed—sort of. But OTOH I feel perhaps you’re overlooking some things, which I’ll get to in a moment.

First, though, it should be obvious that tax cuts without reductions in entitlements and and increase in jobs is a recipe for fiscal disaster.
A few things need to be tweaked here, IMO, in the short term, within the context of long term goal of re-establishing the concept of self reliance.

SHORT TERM
1. Government benefits need to be counted as income, and taxable! This would probably not bring in revenues; it would simply discourage people who aren’t truly needy from applying.
2. Immediate, small, across the board reductions in benefits, with recipients notified NOW that future reductions are coming. Also term limits for collecting benefits. A year or two, not a lifetime. Require applicants to seek help from family or private charities first, before taxpayer subsidies kick in.
3. Require fingerprint identification to eliminate fraudulent collections under multiple identities.
4. NO housing benefits for anchor babies of illegals. Saying you’re not elible for a free apartment, but your infant qualifies, is absurd.
5. Cap household benefits at a low maximum, removing incentives to produce additional children. No benefits for additional children born while receiving assistance.
6. Government benefits need to be put on a schedule to be gradually scaled back to zero for all but the most needy, ie elderly and truly disabled.

Here’s what I’m getting at, and what I think you’re overlooking:
The $25k -$50k exemption in Trump’s plan is sound, IMO.

1.The employee or household earning $25k or $50k NEEDS every penny of that for very basic expenses, just to be able to get up and drive to work everyday.
2. Yes, the various complicated exemptions and deductions in the current tax code result in these bottom earners paying little or no FEDERAL INCOME tax (most of which goes to fatass DC bureaucrats anyway)
But it is incorrect to assert these folks pay ZERO taxes.
These workers DO in fact pay state income taxes, sales taxes, tolls, fees, property taxes and gasoline taxes. They’re forking over at least $10-$20 in taxes of every $100 they spend in their local communities. (I paid $32 in sales tax only at 1store, the Dollar Store, last month.)
Meanwhile, unemployed or “low income” workers can collect benefits adding up to $60k-80k, paying ZERO federal income tax, while the food stamps, rent, etc spent in their local communities are subsidized by working chumps.

Ok, here’s the meat. Trump’s $25k-$50k plan IMO will not, as you say, increase the number of households paying ZERO taxes. It simply acknowledges what already exists, and reduces the unnecessary paperwork and bureaucrats in DC= immediate savings+deficit reduction.
But here’s the real beauty:
It removes a major disincentive for the individual to work, and, furthermore, to work one’s way UP.
As things are, Shinequa chooses a better standard of living by getting tax free benefits. If she’s working part-time for $10 k and can still qualify for $25k in housing, childcare, and foodstamps, why would she want to increase her work hours and lose that **income**? Why earn $25k when federal and SS taxes are taken off the top and she must do paperwork to get part of her money refunded later? Plus all those other work-related expenses mentioned above that come off the top. She needs to pay her bills now.
She feels she is being penalized for working, just as you do.
Working fewer hours means more government income, plus less spent on gas, tires, auto maintenance. More people are figuring this out, hence swelling welfare rolls.

Trump’s plan BEGINS to reverse this trajectory. It gives Shinequa (and everybody choosing between work or dependence!) a chance to pay herself first, not the government. She’s incentivized, not discouraged, from earning more. She can pay her own basic living expenses, and has the incentive to raise her own living standard, while keeping her first tax dollars in her own local community and out of Washington DC.
Additionally, the $50k family exemption is a HUGE incentive to bring baby daddies out of hiding and back into the household as wage earners.
But it only works along with a return of jobs and by disincentivizing entitlements.
Trump’s plan to reduce corporate business taxes will bring back manufacturing jobs.
Also, it logically follows that keeping cash in local communities will naturally spur local investment and job creation.

[i_robot73]

>
I’m tired of that line. Can you explain what federal government services are used more by low income than higher wage people?
>

Well, I’d suspect it AIN’T the ‘rich’ utilizing food-stamps, ‘unemployment’, SSI and a plethora of OTHER illegal/unconstitutional ‘services’ that that are robbed from the taxpayers.

Nor, the ‘rich’, at the State level, that require the higher policing, ‘public schools’, hospitals, numerous govt ‘jobs’, etc...

>
Low income people pay a huge tax and it can’t be put on a IRS form. They pay through the nose in the form of stagnant and even reductions in real wages coupled with and compounded by hyper-inflation/cost of living increases
>

Ah, ONLY the poor worry about wages/COLA? Maybe the life choices weren’t so great?

The great thing about our Country: One can make of themselves as they wish. There is NOTHING keeping anyone ‘down’. The pity party doesn’t work; there are no ‘poor’ in the U.S.

>
BTW, food and energy, the real cost of living, isn’t even calculated in the inflation index.
>

Oh, that’ll be coming back in a (R) administration. So will the ‘homeless’, the ‘down-trodden’ and the poor, poor, pitiful ‘poor’. I’m surprised the ‘failing infrastructure’ hasn’t gained much traction (but, again, then they might need to account for the $T+ up-in-smoke sine the last time).

>
All of that printed money being pumped into the stock markets etc. causes inflation. Who is hurt most by the inflation making the rich richer?
>

Most?? We the People (of all walks of life). Blame rests squarely on the great-grand-parents and our illegal govt. But, that’s not germane to this discussion.

[i_robot73]

>
You want to return to the original constitutional restraints, and eliminate the Federal income tax on individual wage earners altogether. Getting from here back to there—not so easy. Where to start?
>

As easy as it were to pass. As the 16th never over-rode the 5th, nor the 13th, IMO, it is null and void.

>
First, though, it should be obvious that tax cuts without reductions in entitlements and and increase in jobs is a recipe for fiscal disaster.
A few things need to be tweaked here, IMO, in the short term, within the context of long term goal of re-establishing the concept of self reliance.
>

We are a Constitutional Republic, or we are not. There is no need for ‘tweaking’. Rip, remove, burn and salt.

Govt is NOT known for reversing course and, undoubtedly, attempt to re-establish its iron-fist given the (stupid) 5/10/15/20-ys ‘plans’.

>SHORT TERM...

ALL unnecessary (programs are unconstitutional).
RE: ‘Anchors’ (see above and specifically 14th A)

Govt does not determine ‘needy’. It has neither the authority nor the capacity. That must, again, reside with The People (the owners).

Restore the 5th (killing the Welfare State) and you’ve solved multiple problems at once.

>
Here’s what I’m getting at, and what I think you’re overlooking:
The $25k -$50k exemption in Trump’s plan is sound, IMO.
>

And the people(s) for whom must pay the tax(es) that aren’t paid by the < $50k? Is their need of their own $$\property any less that the Constitution can be ignored and thus stolen to be given to another??

>
These workers DO in fact pay state income taxes, sales taxes, tolls, fees, property taxes and gasoline taxes. They’re forking over at least $10-$20 in taxes of every $100 they spend in their local communities. (I paid $32 in sales tax only at 1store, the Dollar Store, last month.)
Meanwhile, unemployed or “low income” workers can collect benefits adding up to $60k-80k, paying ZERO federal income tax, while the food stamps, rent, etc spent in their local communities are subsidized by working chumps.
>

Now we’re mixing Fed with State.

Still, is the ‘need’ for those that MUST pay taxes any less? You point out just ONE problem with govt defining ‘need’: it cares not for Peter when paying Paul.

You remove the Welfare State, you remove not only the incentive to sit on one’s ass, but you restore (mightily IMO) a chunk of our Republic.

>
Trump’s plan to reduce corporate business taxes will bring back manufacturing jobs.
>

A reduction in biz taxes will still not bring back jobs...not when the leviathan of govt exists. OSHA, EPA, IRS, unions, regs\rules, O’Care....taxes are but ONE facet that needs correcting.

>
Also, it logically follows that keeping cash in local communities will naturally spur local investment and job creation.
>

It doesn’t take govt to accomplish. It takes REMOVING govt. (at ALL levels). Again, is but one facet (State govt are, at times, no better than Fedzilla).