During the election, Donald Trump made big promises regarding taxes. As he planned to help strengthen the U.S. economy, he proposed to cut taxes on most Americans and make it easier for them to hold onto their hard-earned cash. That would effectively help businesses thrive and the economy boom.
Once in office, he recommended his own tax plan. But he needed support from Congress to make it a reality.
This week republicans unveiled their tax proposal. It is being called the biggest change to our tax code in decades. In addition to slashing taxes for middle class families, it offers one major change that will improve the lives of many.
From New York Times:
Republican lawmakers are unveiling the most sweeping rewrite of the tax code in decades, outlining a plan to cut taxes for corporations, reduce them for middle-class families and tilt the United States closer, but not entirely, toward the kind of tax system long championed by businesses, according to talking points circulated on Thursday…
The proposal roughly doubles the standard deduction for middle-class families, expanding it to $24,000 for married couples, from $12,700, and setting it at $12,000 for individuals, from $6,530 today. Republicans also plan to expand the child tax credit to $1,600 from $1,000 and add a $300 credit for each parent and nonchild dependent, such as older family members…
The proposal will double the estate tax exemption to roughly $11 million, from $5.49 million, meaning families can avoid paying taxes on large inheritance. And it eventually repeals the estate tax altogether, phasing it out entirely in six years.
Most people will agree that the estate tax is by and large illegal. Taxing money that is inherited means the government is taxing something that’s already been taxed! Double taxation is illegal and shouldn’t be allowed in our country.
Yet liberals love it, because it’s more money in their pockets. It also coincides with the sentiment many on the left have towards the wealthy. They don’t think you deserve the money you worked hard to earn, so why not prevent your children from getting it when you die?
This cut is huge. Not only does it mean more money going to families each year, but an eventual elimination of the tax in six years. That’s more money going to Americans and less going into the hands of government flunkies.
But expect a fight from the left on this proposal. Democrats hate tax cuts. They don’t believe you deserve that money anyway. They want to tax Americans into oblivion, in the hopes of funding their bloated, doomed government programs. Oh, and to expand their own paychecks, of course.
The best thing we can do right now is champion this tax proposal. The more Americans talk about it, the more momentum it will get in Congress.
Source: New York Times