Posted on 10/23/2017 6:45:46 AM PDT by SkyPilot
The Republicans on the House Ways and Means Committee — engaged in a high-pressure, high-stakes tax policy rewrite — are currently exploring not cutting the income tax rate for people who earn $1 million or more per year.
Right now, the marginal tax rate for anyone who makes $418,000 or more per year is 39.6 percent. The Republicans' opening gambit — secretly negotiated for months, and endorsed by Trump — would have cut the highest tax rate to 35 percent. But now, House Republicans' thinking has changed. Under their current thinking, people who earn between $418,000 and $999,999 will be in a lower tax bracket. But those earning $1 million or more will not.
Keep reading 273 words
Opting to keep taxing million-dollar-earners at the current 39.6 percent-rate will help stem the deficit increase from tax cuts for corporations and the middle class.
Caveat: The million dollar bracket plans haven't been finalized and could change this week, as committee Republicans finalize their tax bill during meetings on Tuesday and Wednesday.
Potential blowback: If the Committee Republicans ultimately decide not to cut the income tax rate for million-dollar-earners, much of the Republican donor class and Reaganomics community (including anti-tax activist Grover Norquist) will feel betrayed.
"I understand compromise, but why compromise with the sin of envy?" Norquist told us. "This isn't the dumbest idea I have ever heard of. But it is in the top 20."
Norquist argues this won't placate Democrats — who inevitably will charge that Trump's tax overhaul is just designed to help the rich — but will alienate conservatives.
(Excerpt) Read more at axios.com ...
Being retired, that would kinda suck for me, but I’d be in favor of it. Consumption tax, in lieu of all others, seems like common sense to me.
“It’s not he Trump tax plan that scares me, it’s what Congress may put forward in its place that has me worried.”
And you should be worried since the current history of Congress is that of screwing us.
That said, your point is also my pint in that we need to support Trump and stop the liberal proclamations that his plan says things it does not.
Over the weekend we saw one dummy after another on FR claim things such as the Trump plan kills off the 401(k) saving program, which it does not, simply because the liberal media said so. Gullible dummies each and every one. Not a single one of those dummies thought to verify through official sources what the Trump plan says.
I am sick of the stupidity in America where no one knows how to find a fact, to find official sources, and, instead, they rely on the boob tube and the Internet to tell them what to think.
When being told a law, a bill, or a plan says something and responding with, “Show me the law, bill, or plan”, we merely parrot what we heard or read and claim its the God’s honest truth because the boob tube and the Internet can’t possibly lie to us when we are such smart and discerning intellectuals. We’re idiots.
I know. Politicians like the hidden taxes that inflation brings. If you were making $50k a year 10 years ago, and are making about $61k today, your buying power would be the same but your taxes would be much higher.
I don’t, either.
Rush was talking about one of his gazillionaire friends who was whining that since his taxes weren’t supposed to be cut, he wouldn’t have any more money for “disposable income.” Oh, cry me a RIVER!!!!
I don’t have a lot of sympathy for the so-called “rich.” They’re the ones who have sold out everything our country used to be to get their products (and now services) made in third-world shitholes for pennies.
This is so stupid.
That .5% of wage earners are the bosses who actually invest and employ the rest of us.
The entire stimulus purpose will be defeated.
Your rich relatives make out very well under this.
Interesting take. Good analysis.
Good, because this budget was starting to look like one that screws the middle class for the benefit of the super rich and ultra poor.
To me the corporate cut is all that matters. The economy is on a balance, and a tax cut failure could set the economy into another lurch.
No need to raise taxes. No one really believes in the fable that anyone in the government has plans to reduce the deficit anyways.
You don’t read posts very closely. He’s not rich yet he’s just a kid. That’s why I mentioned his starting salary. It’s not plural. There’s only one that is going to be rich in the future :-)
Bannon was pushing for a $5 million and above bracket. He told Trump that would win him tons of votes from certain democrats.
Exactly.
Trump is holding the key ingredient back in order to get an idea of the turbulence the base plan will cause.
Then once they understand the fallout, they will disclose the rate.
I’m cautiously optimistic the brackets will be pleasant surprise.
“Slash it all to 10% and take away everyone’s deductions.”
That is what should happen.
That sounds more like a governance issue than a taxpayer contribution issue but I think I get your point.
We really don’t know anything until the tax brackets are published. So far its not looking so good: the indications are this will be tax “reform” paid for by the middle class.
tell me again why I should feel bad for the poor rich people?
Badge of honor.
as long as the corporations get to buy their sky boxes all is well....we dumb wage earners just need to know our betters are better than us, apparently..
Yup. A lot of businesses file via their personal income tax returns - we do. We are nowhere near the million dollar mark, but I’m sure many successful ones are.
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