President Trump announced last week that his proposal to cut taxes will be presented in just a few weeks. This is something he campaigned on and is going to make good. His tax cuts will lower both corporate and personal income tax rates. It is said his tax cuts will be even more ambitious that President Bush’s tax cuts in 2001, and is being compared to President Reagan’s 1986 tax cuts.
The corporate tax rate would be cut from 35% to 15% or 20%. (I’m hoping for 15%.) There’s no word yet on how individual income taxes would be affected, but I’m hoping that all tax rates will be lowered, especially the top rates.
The stock market responded to the news with a sharp increase.
Democrats are going to have a fit when the actual details are made known. I can already predict what they’re going to say.
It will be hailed a “tax cuts for the rich” or a tax cuts “that will only benefit the wealthiest citizens,” or some deviation on that theme. They will lament that working Americans will be left out (when very nearly 50% of Americans don’t even pay income taxes).
Democrats will say that there’s “no way to pay for the tax cuts,” because, in their view, government can never do without. They will warn that Trump’s tax cuts will explode the deficit, which is false. It will probably reduce the deficit owing to increased employment and increased economic activity. Plus, Democrats never worried about the deficit during the Obama presidency, when we had our largest budget deficits in history.
There might even be more paid protests.
Ignore the criticism. Democrats live in fear that a rich man might wind up with one more dollar in his pocket. The wealthy already pay a disproportionate share of the income taxes in the U.S., and it’s time to cut corporate taxes and the top individual marginal rates.
Atlas deserves a break. The last thing we need is to give Atlas one more reason to shrug. It’s time to lighten his load and let him do what he does best: create wealth.