I definitely agree that there would be an increase in inequality should this pass. Trump seems very content to shun his base group of constituents when it comes to his actual policies. He instead he chooses to put in place a plan that will at face value look like what he campaigned for, but really its just scaled in such a way that the highest earners get the most benefit.
I could also see inequality increasing, but also considering the people in power...I don't know if I can confidently say that it won't pass. It's no surprise that Trump owns so much estate, and he wants to eliminate estate property taxes. I'm really surprised that people don't call out Trump's conflict of interest in such issues. Honestly, until trump doesn't release his tax returns, he shouldn't be allowed to speak on the topic or pass any tax legislation. I find it difficult to understand why there is a negative connotation towards taxes. Taxes benefit a nation in many ways. Maybe if there were systems in place that made sure taxes went to better healthcare, education and infrastructure, it wouldn't be the case.
It does seem like these policies will cause an increase in inequality, these trickle down tactics never work. I do however think the last point on the chart, the reduction in possible tax breaks is a fairly reasonable proposition. So many large businesses get around taxes through all sorts of ways. However, I firmly believe that there should be major tax breaks for any business that passes as "sustainable" in the environmental sense.
I find it interesting that the bracket "simplification" and the removal of tax loopholes and credits are the first and last items on the list, respectively. It feels like a way to take advantage of primacy and recency biases when people read it, since discussions at the bar are unlikely to remember the middle items. It's particularly pernicious, as that is where all of the ultra-wealthy tax cuts lie.
There is no way this doesn't increase inequality. There is no data suggesting trickle down economics actually increases disposable income amongst the lower class. --> And this is precisely what this tax plan does, increases income among the upperclass and corporations.
But yeah even with the Republicans in power I can't see this passing.
I agree with most of the comments here. People are misled by the simplicity of the plan but there are many unanswered questions with this plan. It will most definitely lead to further inequality. I was also reading today that it is supposed to lead to a $7 trillion hole in the budget within a decade if this is what is implemented. The article also said that these lower tax brackets will allow individuals to report their personal income as business income to avoid a higher tax rate. So clearly this plan is heavily weighted to benefit those at the top end of the income ladder. See article here: http://www.vox.com/policy-and-politics/2017/4/26/15436264/trump-white-house-tax-plan-questions
What everyone has said so far, is exactly what I agree with. I think that this tax plan with increase the inequality that is occurring in the US. The thing that startles me is the tax brackets and the estate tax. These 2 "tax breaks" favor the rich because 1. the top 1% will be grouped with people that do not make nearly as much as they do, and 2. the estate tax is giving the top 1% a tax break for homes that are huge. Even with the amount of people in the house that are Republican, I cannot see this tax plan going through.
I definitely agree that there would be an increase in inequality should this pass. Trump seems very content to shun his base group of constituents when it comes to his actual policies. He instead he chooses to put in place a plan that will at face value look like what he campaigned for, but really its just scaled in such a way that the highest earners get the most benefit.
ReplyDeleteI agree with Kyle. This tax plan, similar to his proposed healthcare plan does not benefit his base group of support whatsoever.
DeleteI could also see inequality increasing, but also considering the people in power...I don't know if I can confidently say that it won't pass. It's no surprise that Trump owns so much estate, and he wants to eliminate estate property taxes. I'm really surprised that people don't call out Trump's conflict of interest in such issues. Honestly, until trump doesn't release his tax returns, he shouldn't be allowed to speak on the topic or pass any tax legislation. I find it difficult to understand why there is a negative connotation towards taxes. Taxes benefit a nation in many ways. Maybe if there were systems in place that made sure taxes went to better healthcare, education and infrastructure, it wouldn't be the case.
ReplyDeleteI totally agreed with Kriti.
DeleteIt does seem like these policies will cause an increase in inequality, these trickle down tactics never work. I do however think the last point on the chart, the reduction in possible tax breaks is a fairly reasonable proposition. So many large businesses get around taxes through all sorts of ways. However, I firmly believe that there should be major tax breaks for any business that passes as "sustainable" in the environmental sense.
ReplyDeleteI find it interesting that the bracket "simplification" and the removal of tax loopholes and credits are the first and last items on the list, respectively. It feels like a way to take advantage of primacy and recency biases when people read it, since discussions at the bar are unlikely to remember the middle items. It's particularly pernicious, as that is where all of the ultra-wealthy tax cuts lie.
ReplyDeleteThere is no way this doesn't increase inequality. There is no data suggesting trickle down economics actually increases disposable income amongst the lower class. --> And this is precisely what this tax plan does, increases income among the upperclass and corporations.
ReplyDeleteBut yeah even with the Republicans in power I can't see this passing.
I agree with most of the comments here. People are misled by the simplicity of the plan but there are many unanswered questions with this plan. It will most definitely lead to further inequality. I was also reading today that it is supposed to lead to a $7 trillion hole in the budget within a decade if this is what is implemented. The article also said that these lower tax brackets will allow individuals to report their personal income as business income to avoid a higher tax rate. So clearly this plan is heavily weighted to benefit those at the top end of the income ladder. See article here: http://www.vox.com/policy-and-politics/2017/4/26/15436264/trump-white-house-tax-plan-questions
ReplyDeleteWhat everyone has said so far, is exactly what I agree with. I think that this tax plan with increase the inequality that is occurring in the US. The thing that startles me is the tax brackets and the estate tax. These 2 "tax breaks" favor the rich because 1. the top 1% will be grouped with people that do not make nearly as much as they do, and 2. the estate tax is giving the top 1% a tax break for homes that are huge. Even with the amount of people in the house that are Republican, I cannot see this tax plan going through.
ReplyDelete