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[deadlast]

Trump posted his tax reform this morning. Didn't see a post, so here you go.

https://www.donaldjtrump.com/positions/tax-reform

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.

If you're poor, you win???

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.

He's going for simplification

All other Americans will get a simpler tax code with four brackets – 0%, 10%, 20% and 25% – instead of the current seven.

Businesses can hold more cash

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.

Not paying a death tax is good for families with lots of cash/assets

No family will have to pay the death tax.

How he wants to pay for tax cuts -

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.

Income tax, by the numbers:
Income Tax Rate (ITR) Long Term Cap Gains/ Dividends Rate (DIV) Single Filers (Single) Married Filers (Married) Heads of Household (H of H)

ITR 	Div 	Single 			Married  		H of H
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

More at the link.

Reform me if old.

 

[Permanently A]

Sounds... liberal?

He has to be a Hillary puppet, right?

 

[BigMastadon]

This would make my job at H&R Block almost disappear.

I guess Trump would like that though.

 

[kess]

Sounds... liberal?

He has to be a Hillary puppet, right?

Eliminating the estate tax isn't exactly liberal.

 

[marrec]

Wait, how wouldn't this plan add to our debt and deficit if he's slashing taxes across the board?

Also, step three is "grow the American economy" :lol

This feels like the Tax Plan of a 16 y/o Mitt Romney.

 

[Clockwork5]

This would make my job at H&R Block almost disappear.

I guess Trump would like that though.

No offense but he is not the only one.

 

[Afrodium]

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.

This is HILARIOUS

 

[Flying Toaster]

Sounds... liberal?

He has to be a Hillary puppet, right?

I am waiting for the Trump/Clinton emails to surface...


I kid.

 

[kittenbreath]

Regarding the "death tax"...

Estate tax in the United States

If an asset is left to a spouse or a Federally recognized charity, the tax usually does not apply. In addition, up to a certain amount varying year by year, amounting to $5,250,000 for estates of persons dying in 2013,[2] $5,340,000 for estates of persons dying in 2014,[3] and $5,430,000 for estates of persons dying in 2015,[4] can be given by an individual, before and/or upon their death, without incurring federal gift or estate taxes.[5] Because of these exemptions, only the largest 0.2% of estates in the US will have to pay any estate tax.[6]

Edit: damnit, I always do the url tag backwards

 

[SpecX]

If this went through, I would almost quit my job to get a "I Win!" tax form.

 

[Zing]

This would make my job at H&R Block almost disappear.

I guess Trump would like that though.

It's unfortunate that a whole industry formed to handle something that should be simple enough to not be a burden. For many people, a medieval sheriff coming by to demand a sack of gold might be preferred.

I am still in favour of a federal sales tax and zero income tax.

 

[Skiptastic]

Simultaneously good for the poor and good for the rich, as far as income tax goes.

Not sure how fiscally feasible or responsible it is, however. My first sentence leads me to believe it is entirely untenable.

 

[lastflowers]

This is HILARIOUS

I really want America to follow Trump. We will have the most interesting 4 years ever if he actual had the power to do whatever the fuck he wanted to do. It'd be the experience of a lifetime.


It will probably be horrible, but it might be amazing at the same time. We'll get 4 years of horror-show, but his political-mucking might actually be the catalyst we need to completely alter the political quicksand we're in.

 

[deadlast]

I am waiting for the Trump/Clinton emails to surface...


I kid.

I bet the RNC is frantically searching for those emails.

 

[Clockwork5]

Wait, how wouldn't this plan add to our debt and deficit if he's slashing taxes across the board?

Also, step three is "grow the American economy" :lol

This feels like the Tax Plan of a 16 y/o Mitt Romney.

Looks like trump claims it can be paid for by taxing assets corporations aquire from overseas income and eliminating corporate deductions and loopholes.

 

[Orbis Tabula]

This would make my job at H&R Block almost disappear.

I guess Trump would like that though.

I think a lot of people would like to see that happen. Unfortunately, H&R Block is louder than those people.

Can't say I'm terribly thrilled with this plan. Cut taxes across the board, close undisclosed "loopholes", a sort of tax holiday for money stashed overseas. Seems pretty similar to a lot of Republican proposals of the past, no? All hidden with an "I Win!" tax joke so people ignore the other parts.

 

[marrec]

Simultaneously good for the poor and good for the rich, as far as income tax goes.

Not sure how fiscally feasible or responsible it is, however. My first sentence leads me to believe it is entirely untenable.

It's completely impossible to put in place these reforms and not incur more deficits or be forced to cut back drastically on the budget.

Also, this isn't "liberal" in any sense of the word, this is red meat republican.

Looks like trump claims it can be paid for by taxing assets corporations aquire from overseas income and eliminating corporate deductions and loopholes.

Which wouldn't work even if it weren't a one time tax on overseas income.

As far as eliminating corporate deductions and loopholes, that wouldn't amount to enough for this fuckery.

 

[ItIsOkBro]

It was going okay until the businesses holding more cash part.

 

[Clockwork5]

It's unfortunate that a whole industry formed to handle something that should be simple enough to not be a burden. For many people, a medieval sheriff coming by to demand a sack of gold might be preferred.

I am still in favour of a federal sales tax and zero income tax.

Sales taxes are highly regressive and put a significant burden on the poor.

 

[Zophar]

15% corporate tax seems way too low.

 

[Stumpokapow]

Tax plans that are based on simplification and closing loopholes, regardless of who does it, should probably address why they will be possible when all previous attempts to simplify and close loopholes have failed. They should also probably address whether they will cutting taxes even if the loopholes can't be closed (i.e. and take a revenue bath).

 

[Sparrowhawk]

Could someone explain how this would affect someone like me who earns less than $25k and why it's good/bad?

 

[Trail Guide]

Will capital gains count as income or is that strictly salary? I can see every high level job come with a $100 salary and millions in stock and then the rich pay no taxes.

 

[commedieu]

Could someone explain how this would affect someone like me who earns less than $25k and why it's good/bad?

You win!

You don't have to pay income tax.

Trump is mind fucking the hell out of me right now, what the fuck. This seems sensible...

 

[Veritigo_X]

Classiest tax reform policy I've ever seen.

 

[gazele]

Could someone explain how this would affect someone like me who earns less than $25k and why it's good/bad?

You'd pay 0 income tax (federal level) so that's good, don't' really see a downside for you

It seems like cuts across the board, which sounds good on paper, but how it wouldn't add to the deficit would be interesting to see

 

[milanbaros]

What does 15% of their business in tax even mean lol?

 

[marrec]

Could someone explain how this would affect someone like me who earns less than $25k and why it's good/bad?

It would hardly affect you since the federal tax code hardly affects you as is if you're an under 25k earner who is single with no kids.

 

[lemonlyman]

Why do the middle class get a progressive tax and the rich get a flat tax? That's pretty fucked.

 

[gazele]

It would hardly affect you since the federal tax code hardly affects you as is if you're an under 25k earner who is single with no kids.

I mean, if you're single and make 25k right now you pay 15%, which isn't nothing, proportionally saving 15% could be a big help

 

[demosthenes]

Looks like trump claims it can be paid for by taxing assets corporations aquire from overseas income and eliminating corporate deductions and loopholes.

And growing the economy. Would love to see any numbers to back this up.

You win!

You don't have to pay income tax.

Trump is mind fucking the hell out of me right now, what the fuck. This seems sensible...

Anything can be sensible if you don't have actual backup for it. Iwanttoseethereceipts.gif

 

[deadlast]

You win!

You don't have to pay income tax.

Trump is mind fucking the hell out of me right now, what the fuck. This seems sensible...

Trump is like sugar... Easy to consume and process, not necessarily good for us.

 

[Orbis Tabula]

I like that reducing the number of tax brackets is hailed as some simplification. As if having 7 of something is just too much to handle, but 4 is much simpler!

"I'm a hard-working, middle class American! I don't have time to count all 7 different tax brackets! And now those tax-and-spend liberals want to add more!? I'm voting Trump because it's easier to count to four! Make America Great Again!"

 

[gdt]

Step 3

Make shit happen






This plan is a joke

 

[marrec]

I mean, if you're single and make 25k right now you pay 15%, which isn't nothing, proportionally saving 15% could be a big help

I was coming from a simplicity point of view, but you're correct.

 

[SuperBanana]

Why make tax cuts at all when you're in massive, uncontrollable debt? It's like being in personal debt then cutting your working hours back to part time because it's easier.

 

[demon]

Why make tax cuts at all when you're in massive, uncontrollable debt? It's like being in personal debt then cutting your working hours back to part time because it's easier.

No, it's nothing like that.

 

[Clockwork5]

And growing the economy. Would love to see any numbers to back this up.

so would I. I would have loved to see any numbers from any presidential tax policy that panned out to be true. Hence our crippling deficit.

 

[marrec]

Step 3: I have these magic beans that the guy I traded our more sensible Corporate Tax Code too said would grow the economy. All we have to do is plant them and wait for the money to trickle down the beanstalk.

 

[milanbaros]

Why make tax cuts at all when you're in massive, uncontrollable debt? It's like being in personal debt then cutting your working hours back to part time because it's easier.

Because public debt is private savings and the two view points aren't at all comparable?

 

[Angry Grimace]

Read: Trump tax cuts will be paid for by cutting programs that help minorities/poor/etc.
Also read: Trump tax cuts aren't actually feasible, but they sound decent in a sound bite.

 

[Jonm1010]

And growing the economy. Would love to see any numbers to back this up.



Anything can be sensible if you don't have actual backup for it. Iwanttoseethereceipts.gif

Cut taxes = infinite revenue...or something to that effect.

 

[Cels]

i am skeptical of the claim that his plan does not add to debt or deficit.

secondly, eliminating estate tax is dumb, but typical for republicans

 

[CharlieDigital]

This would make my job at H&R Block almost disappear.

I guess Trump would like that though.

Your job will disappear soon anyways. Tax prep will only become more automated as the years go on.

I think a lot of people would like to see that happen. Unfortunately, H&R Block is louder than those people.

It's really got nothing to do with H&R Block but that the tax policy is a tool that is often used for political purposes to help grease bills, spur growth, etc.

You win!

You don't have to pay income tax.

Trump is mind fucking the hell out of me right now, what the fuck. This seems sensible...

This is tax policy, not economic policy. So it doesn't say if government assistance programs are going to be cut as well.

 

[marrec]

Read: Trump tax cuts will be paid for by cutting programs that help minorities/poor/etc.

Which still wouldn't be enough to make up for the lost revenue most likely.

 

[Somnid]

This seems at first glance not bad for Republican. I don't know that it will actually work when accounting for government costs (those brackets seem low) but the fact that it at least acknowledges progressive tax is a bit shocking.

 

[AbortedWalrusFetus]

15% corporate tax seems way too low.

The effective corporate tax rate in the USA is like 12.6%. It is effectively lower than 15%. If his plan is to close all loopholes and exemptions and levy a 15% tax, that would make the effective tax rate 15% and it would actually be an increase in corporate taxes.

 

[Angry Grimace]

Which still wouldn't be enough to make up for the lost revenue most likely.

No, its a batshit plan like every other GOP tax plan, they just cut shit and balloon the deficit because people like paying less taxes.

The effective corporate tax rate in the USA is like 12.6%. It is effectively lower than 15%. If his plan is to close all loopholes and exemptions and levy a 15% tax, that would make the effective tax rate 15% and it would actually be an increase in corporate taxes.

But its just that, the effective tax rate. The actual tax rate is 35%.

 

[Alucrid]

He forgot the part where he engages in a satanic incantation to make all of this achieveable

You win!

You don't have to pay income tax.

Trump is mind fucking the hell out of me right now, what the fuck. This seems sensible...

I guess this is the type of gullibility Trump is hoping for

 

[Tenebrous]

Sounds nice, but unrealistic.