Thursday 11/2/17 the new Republican tax plan was unveiled – although there are parts being held back such as what is all being cut from the current tax code.
The Democratic hoopla on the new Republican tax plan being detrimental to the “middle class”, is an outright lie – but what would you expect from the Liberal Left? Democrats were tweeting that families earning up to about $86,000 would receive an increase in their taxes under the new plan amounting to roughly $790.00. Actually – it would be 8 million households, not all households in this income range. The Washington Post awarded the Demoncrats Four Pinocchios for telling this whopper.
According to The New York Times, the current seven tax brackets will be reduced to four tax brackets. The basic breakdown works like this:
If you make up to $24,000 you will pay no tax.
Up to $90,000 will be in the 12% bracket.
Up to $260,000 will be in the 25% bracket.
Up to $1 million would be in the 35% bracket.
Over $1 million would be in the 39.6% bracket.
The corporate tax rate would be reduced from the current 35% down to 20%.
There are plenty of naysayers out there on this like Jerry Howard:
“Contrary to their assertions, the Republicans are picking winners and losers,” Jerry Howard, chief executive of the National Association of Homebuilders, said in an interview. “They are picking rich Americans and corporations over small businesses and the middle class.” (source)
Looking at the tax rates and other relevant information, I would ask Mr. Howard where he came up with such a ridiculous idea. Maybe he can’t read numbers? An individual making 24 grand would pay no tax – that’s huge! I will come back to that.
The rallying war cry by those who disagree with this plan is this: the middle class will get stomped on once more while the rich get richer. What a load of crap. Lets look at this a little closer shall we?
First, what IS the so-called middle class anyway? What and who determines this? Take a look at this quote from The Economic Collapse Blog, (originally appeared in the Washington Post)
It’s also situation specific. “The more people in a family, the more money they typically need to live a comfortable middle-class lifestyle,” writes the Post. Likewise, the more expensive your area, the more you need to make to qualify. Overall, “America’s middle-class ranges from $35,000 to $122,500 in annual income, according to The Post’s calculation” approved by the Pew Research Center.
“The bottom line is: $100,000 is on the middle-class spectrum, but barely: 75 percent of U.S. households make less than that,” writes the Post.
Let me break this down a little more. I said I would come back to no tax for those who make $24,000 a year or less. But first, going on the above figures, middle class starts at 35K up to 122K or so. Note that 75% of the U.S. population does not make 100K. There are many households who make more like $35,000 to $50,000. And this writer can tell you – there are plenty of people out there are under the $24,000 mark as well.
Lets say you make $9.00 an hour, working 40 hours a week – that is $18,720 a year. $10.00 an hour? $20,800 a year. There are many places paying low wages, more so then high wage jobs. The gas stations, restaurants, stores, and the list goes on. In some areas these jobs will pay more, but the cost of living is a lot higher as well.
Incomes up to $90,000 pay 12% tax, not that bad. But wait – there is more:
The standard deductions are almost doubled. Yes some things are taken away, but the doubling of the standard deduction is very helpful. If you are a single payer – $12,000 right off the top, married, $24,000 right off the top.
The Minimum Alternative Tax will be abolished.
The mortgage interest that can be deducted is limited as is the break for state and local taxes. Cuts have to come from somewhere right? Some Republicans have expressed opposition to the new tax plan for this reason alone. Maybe then these Republican’s home states need to lower their steep tax bills? Why should the rest of us be penalized for what a few states have done?
There is a lot to this new tax bill, and not everyone will be happy. It was said that not all elements of the bill are being released because of the lobbyists. Makes sense – I would eliminate the DC lobbyists altogether, they are nothing more then a cancer on this country – getting rich while attempting to attain their, or the client’s desires!
With the lobbyists spreading money and influence around Washington D.C like butter on pancakes, and the “pork barreling” going on in Congress – its no wonder nothing ever gets accomplished on either side of the isle. There has to be something in it for everyone, or they will not vote for it. How about voting for what is good for this country and not your own personal ambitions and pocketbook?
As I have written before, the Democratic Party is determined to destroy The United States of America. They appose a Southern Border wall, the new tax bill, limiting immigration, stopping immigration from dangerous Muslim countries, and shrinking the horrendously over-sized U.S. government. Basically anything that will help the U.S. – these idiot liberals appose.
Adding insult to injury, we have the RINO’s headed by their king John McCain blocking or impeding everything on Trump’s agenda that needs to get done.
One last point: the tax cuts do benefit the rich, corporations etc. Think about this for a moment please. The wealthy pay less in taxes, that is a bad thing right? Wrong. Less taxes on the wealthier and corporations means:
Current U.S. corporate tax rates are the highest in the world. Reducing them means fewer companies will seek to leave the U.S. and take their business overseas.
More investment in their companies
Which means more jobs created
Which means more money flowing in the U.S. economy
Which means MORE revenue back to the government in taxes!
Yes I know there are no guarantees, but with the other things Trump has accomplished, this tax plan should be a good thing – and we need to start somewhere.
The views expressed in this opinion article are solely those of their author and are not necessarily either shared or endorsed by EagleRising.com