GOP TAX PLAN

[zimmy]

Originally Posted by Jim in CT

Not every business is Walmart or Amazon. Tons of small businesses are owned by middle class folks. How does the corporate tax cut not help all of them?

The problem is that there are dozens of variables. The tax rate for small business drops from 39.6 to 25. Almost 90% of small business pay 25 or less. Enormous tax cuts for the very wealthy, but elimination of deductions for medical expenses, reduction or elimination of deductions for college and grad school. In the end, best case scenario is several hundred dollars on average savings for middle class tax payers, though many see bills increase.

[Jim in CT]

Originally Posted by zimmy

The problem is that there are dozens of variables. The tax rate for small business drops from 39.6 to 25. Almost 90% of small business pay 25 or less. Enormous tax cuts for the very wealthy, but elimination of deductions for medical expenses, reduction or elimination of deductions for college and grad school. In the end, best case scenario is several hundred dollars on average savings for middle class tax payers, though many see bills increase.

Absolutely agreed, there are many moving pieces that will effect people differently. Many of the pieces offset each other. If it's as bad as you describe, the GOP deserves to get creamed in the next election.

[zimmy]

Originally Posted by Jim in CT

Absolutely agreed, there are many moving pieces that will effect people differently. Many of the pieces offset each other. If it's as bad as you describe, the GOP deserves to get creamed in the next election.

How bad it is depends on your perspective. If you are concerned with increasing the debt, both versions of the bill are bad. If you are concerned about major tax relief for the middle class it does little. If tax relief for the very wealthy is important to you, it helps.