American Vet

How many times have you heard President Joe Biden or Sens. Elizabeth Warren (D-MA) and Bernie Sanders (I-VT) berate the Trump tax cuts as “a giveaway to the rich?”

Biden and congressional Democrats now want to let expire major planks of the Tax Cuts and Jobs Act of 2017, former President Donald Trump's signature domestic achievement, particularly the incentives for American businesses to invest more here at home.

We now have incontrovertible evidence that after five years since they took effect, the Trump tax rate cuts of 2017 raised revenues over this time period. For full disclosure, I should note that I worked with fellow economists Larry Kudlow, Arthur Laffer, and Kevin Hassett together on that plan, which went into effect on Jan. 1, 2018.

The latest Congressional Budget Office report released earlier this month calculated that the federal government collected $4.9 trillion of federal revenue last year. This was up — ready for this? — almost $1.5 trillion since 2017, the year before the tax cuts became law.

In other words, revenues were up 40% in five years. The evidence through the first three years of the tax cut finds that the share of taxes paid by the wealthiest 1% rose as well. So much for this being a tax giveaway for the rich.

I compared these numbers with the estimates of what the Trump tax cuts were expected to “cost.” Instead of an expected $1 trillion revenue “loss,” the tax receipts over this period were almost precisely what they would have been if we didn’t cut taxes at all. And remember, that estimate in 2017 never anticipated the two-year hit to the economy from COVID-19 lockdowns — which depleted the Treasury.

In other words, there was a giant Laffer Curve effect from Trump’s tax cut. We got higher growth and higher tax payments with lower tax rates.

This shouldn’t be a giant surprise. The same thing happened when Democratic President John F. Kennedy cut tax rates in the 1960s and when Republican President Ronald Reagan cut tax rates in the 1980s. Lower rates and more revenues.

None of this seems to matter to the White House or congressional Democrats. They want to monomaniacally repeal a tax cut that worked. This would be like firing a coach who wins every game.

One of the most important and successful features of the Trump tax plan was reducing the tax rate on American businesses from 35% — the highest in the world — to 25% while closing special interest loopholes. This brought businesses and jobs back to these shores and helped fuel the Trump economic boom.

An obvious question is, why are we running a $1.4 trillion deficit if we have an all-time high in tax payments?

Because under Biden, federal spending has exploded to more than $6 trillion. Washington doesn’t have a revenue problem. It has a problem of runaway spending. It’s almost as if Congress is pleading for help: Stop us before we spend again.

https://www.washingtonexaminer.com/restoring-america/courage-strength-optimism/its-official-trumps-tax-cuts-paid-for-themselves

Sonny Magoo Loc: Where pot pie is boiled in a kettle

I hope people wake up soon and realize that the bolsheviks are in the house.
They'll spend us right into communism if left unchecked.
Drain the swamp and throw out the parasites. MAGA for ever!

MidnightRider

Don't you mean over $30trillion deficit? Or are you just counting the tax which people shouldn't pay "Voluntary"-Xavier Beccera

Radiance3

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The facts about CORPORATE TAX CUTS AND THE NATIONS ECONOMIC BENEFITS.

Please let me detail the advantages of tax cuts for corporations. Economically, it benefit all segments of the national economy.

Here are the reasons why:
1. Tax cuts for corporations provide higher bottom line, or profits for the company due to cost reductions.
2. As a result, companies have higher taxable income; they pay more taxes to the IRS.
3. Tax cuts allow the company to expand operations. Due to increase of activities, they hire more employees.
4. These hired employees become tax payers to the IRS, to the Social Security, to the Medicare systems. Employees also pay a certain percent to fund unemployment, and the Medicaid and SSI programs used non working or low income citizens, or permanent residence.
5. The hired employees reduce the burden for the government to sustain them or fund welfare funds when they have no reliable sources of income.
6. When corporate profits are high, the companies hired employees and therefore productions and supplies increase, and therefore reduce the inflation. This goes to the law of supply and demand.
7. The health of the economy continues and continuously sustain an on going health of the economy. Provides IRS funds to pay off part of the National Debts. Therefore reduce our interest liability to the creditors.
8. Without interruptions, the health of the National Economy continues to grow.
9. With low corporate tax, some manufacturing companies come home to conduct their businesses locally. This helps is employ more people and put them to production. Goods are locally made in the US which benefit our own country with patronizing US made goods.

WHAT HAPPENED WHEN THERE IS A TAX HIKE ON CORPORATIONS.
Tax hikes on corporation is negative to all business activities. It suffocates the productions of materials and goods needed by the market.

1. When tax hikes on corporation are done, the corporations therefore reduce taxable income with higher operating cost added by the tax increase. Though raise in taxes create higher tax paid to the IRS. But this is offset by increase of cost reducing the corporate revenue, basis for tax payment.

2. When corporate profits decrease, the company to offset cost will do the following;
Increase price of their products or services, and or reduce operating cost by reducing employment. The purpose of the corporations is to make profit for the company shareholders who owns the business.

3. When corporate profits decrease, the stock market also plunge down. The fall of profits affect the stock market. as proven by our lose of at least 30-35% of stocks since 2019. 2020 was affected by Covid19 so the decline of the market activities at present Covid19, was the factor.

However, poor economic policies from 2021 to 2023, have been the major causes of inflation, and negative market volatility performance. Fact of the matter is our GDP as of Dec. 2022 was a negative of minus (-2%). The 2023 is expected to rise a little to 1.7% the lowest in the GDP so far, since 2019.

4. To offset costs of raising taxes, companies reduce employment. Those used to be tax paying employees becomes dependents on unemployment fund. When the unemployment fund is used up they become dependents on the government. The government spends more to fund them until they are able to meet the needs for their families by working. That exhausts of Treasury further.

5. In addition, with fewer people employed, productions are low versus demands. This cause inflation prices go higher, cause fewer products are available.

Fewer employed means people could not afford to buy homes. Demands for rental properties go up, and rents go up as well. The law of supply and demand.

Rise in corporate tax make companies go overseas where lower operating costs are available. Therefore the local US employees are laid off.

Major causes of Biden's endless rise in inflation:
1. Reversals of all Trump's economic policies.
2. Prevention of oil and gas explorations as a result of the Climate Change mandate.
3. Massive spending for Social programs, increase of funding to families who have children and adults .

4. Increase of funding and benefits for unemployed, that allows people to stay home.
To correct this, and reduce costs, require the people to work until a certain period of time is exhausted for being dependent to welfare system.

Massive printing of money.
increase of consumers by inviting tens of millions of illegal aliens where the Federal government spends hundreds of billions to sustain, feed, and house them or provide medical care.
Increase of people getting sick and lunatics for being poisoned by Fentanyl. Unless they die and become part of the hundreds of thousands of death statistics as a result of the toxic drugs.

Lack of discipline and of hundreds of thousands of violent people on the streets, killing and looting from the stores. Businesses are closing due to looting bankruptcies. Walgreens closed 13 stores in San Fran. To date reports indicate that $94.5 billions of dollars have been the costs for looting.

Reductions of Police Enforcement Officers to protect the citizens from being victims of these gangsters.

Wrong prioritization of expenditures. LGBT's and gangsters were provided funding.

Shipping our oil and petroleum reserves to China. This deprives the US a National Security protection and US reserves are depleted.

The war in Ukraine. If Trump is the president, war in Ukraine did not happen. Trump knows how to carry on diplomatic relations with world leaders, especially Russia.