What Happens If The Trump Tax Cuts Are Repealed?

Yesterday The Washington Examiner posted an opinion piece with the following title, “Democrats want to repeal most important part of Trump’s tax cuts.”

I would like to note at this point that according to CNS News:

The federal government set records for both the amount of taxes it collected and the amount of money it spent in the first four months of fiscal 2020 (October through January), according to data released today in the Monthly Treasury Statement.

So revenue has increased under the tax cuts–not decreased.

The piece at The Washington Examiner continues:

Democrats are vowing to repeal the GOP’s 2017 tax reform bill, starting with raising the corporate income tax. The Democrat-controlled House Ways and Means Committee recently held a hearing laying the groundwork for this tax increase, falsely claiming that the corporate rate was lowered at the expense of middle-class families.

Reality belies this rhetoric. The corporate tax reduction from 35% to 21% has benefited families and workers alike by growing the economy, raising wages, and creating new jobs.

It’s no coincidence that, in the two years since the tax cut, unemployment has dropped to a 50-year low. It has hit all-time lows for key demographics including women, African Americans, and Hispanics. Thanks to these pro-growth policies, nearly seven million jobs have been created since Trump took office, and there are now fewer unemployed people than job openings.

Wages have also grown.

Annual hourly earnings have grown by 3% or more in the past 12 months. In fact, real median household income has increased by over $5,000 during Trump’s tenure, according to data released by Sentier Research. In addition to this wage growth, the tax cuts have allowed businesses to expand, hire new workers, and increase pay and benefits.

Savings are also on the rise.

When Trump was elected president, the Dow Jones sat at 18,332. It is now at roughly 29,000, an increase of about 60%. This stock market growth benefits the 100 million 401(k)s, the 46.4 million households that have an individual retirement account, and the nearly $4 trillion in public pension funds, half of which is invested in stocks.

And the Congressional Budget Office has revised revenue up by over $1.2 trillion, 80% of the cost of the tax cuts, due to improving economic conditions since the tax cuts were passed.

You have to wonder why the Democrats would want to undermine an economy that is obviously working for everyone. If federal revenue is at record levels, why would you change things?

The piece concludes:

Utility savings for households are another benefit of the corporate rate reduction. As a direct result of the corporate rate cut, utility companies in all 50 states reduced their prices. That means lower monthly electric, gas, and water bills for households and businesses. If Democrats raise the corporate rate, they will be saddling households with higher utility bills.

The Left won’t stop there, either.

Democrats have proposed trillion-dollar annual tax increases that include payroll tax increases, small-business tax increases, income tax increases, and even an increase in the “death tax.” The fact is, corporate tax cuts have grown the economy, lifted wages, and created more jobs. Democrats would undo these gains and harm middle-class families.

Are the Democrats economically ignorant, or do they simply not care about the impact of their policies on everyday Americans?

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Canada‘s Top Ten List of American Stupidity

Number 10) Only in America…could politicians talk about the greedy rich at a $35,000 per plate campaign fund-raising event.

Number 9) Only in America…could people claim that the government still discriminates against black Americans when they have a black President, a black Attorney General, and roughly 20% of the federal workforce is black, while only 14% of the  population is black.  And 40+% of all federal entitlements go to black Americans, which is 3X the rate that go to whites and 5X the rate that go to Hispanics! (This one should probably be closer to #1 than #9)

Number 8) Only in America…could they have had the two people most responsible for our tax code, Timothy Geithner (the head of the Treasury Department) and Charles Rangel (who once ran the House Ways and Means Committee), BOTH turn out to be tax evaders who are in favor of higher taxes!

Number 7) Only in America..can they have terrorists kill people in the name of Allah and have the media primarily react by fretting that Muslims might be harmed by the backlash.

Number 6) Only in America..would they make people who want to legally become American citizens wait for years in their home countries and pay tens of thousands of dollars for the privilege, while they discuss letting anyone who sneaks into the country illegally just ‘magically’  become American citizens.

Number 5) Only in America …could the people who believe in balancing the budget and sticking by their country’s Constitution be thought of as extremists .

Number 4) Only in America ..could you be asked to present a driver’s license to cash a check or buy alcohol, but not to vote.  This one is a real joke!

Number 3) Only in America ..could people demand the government investigate whether oil companies are gouging the public because the price of gas went up when the return on equity invested in a major U.S. Oil company (Marathon Oil) is less than half of that of a company making tennis shoes (Nike).

Number 2) Only in America could a country collect more tax dollars from the people than any nation in recorded history, still spend a Trillion dollars more than it has per year (for total spending of $7-Million PER MINUTE), and complain that it doesn’t have nearly enough money.

And Number 1) Only in America could the rich people (who pay 86% of all income taxes) be accused of not paying their “fair share” by people who do not pay any income tax at all.