Trump unveils massive tax cut plan

Congress worries what the plan will do to the federal deficit.

[victorherrera]

If he hadn't added the corporations and did it for most Americans and not the rich I would've supported his tax cut plan

[Cavallaro]

*TAX CUTS WON'T GROW THE NATIONAL DEBT? LET'S TAKE A LOOK AT THIS.*

During the 1950s, 1960s, and early 1970s, the top federal income tax rate remained high, never dipping below 70 percent.

In 1980, Democratic President Jimmy Carter's last year in office, the United States National Debt was $907 billion.

Between 1981 to 1993, Republican President Ronald Reagan and Republican President George H. W. Bush were in office. The Economic Recovery Tax Act of 1981 slashed the highest tax rate from 70 to 50 percent.

In 1982, the National Debt of the United States passed the $1 Trillion mark for the first time ever. The National Debt was $1, 142, 034, 000, 000.

The Reagan era had introduced America's modern debate over the role of taxes in economic policy.

Tax Reform Act of 1986, claiming that it was a two-tiered flat tax, expanded the tax base and dropped the top rate to 28 percent for tax years beginning in 1988. The hype here was that the broader base contained fewer deductions, but brought in the same revenue. Further, lawmakers claimed that they would never have to raise the 28 percent top rate.

By the time the Berlin Wall fell in 1989, public debt had climbed from $907 billion in 1980 to $2.85 trillion in 1989 (approximately $5 trillion in today's money). This was the first time since the Great Depression that the debt-to-GDP ratio climbed during peacetime.

By 1989 when Ronald Reagan left office and George H. W. Bush became President of the United States, the National Debt was $2, 857, 430, 960, 187.

By 1993 when George H. W. Bush left office and Bill Clinton became President of the United States, the National Debt was $4, 411, 488, 883, 139.

Debt would generally continue to climb over the presidencies of George H.W. Bush and Bill Clinton, although the rate of growth slowed considerably after Clinton got Congress to enact tax increases early in his first term. Still, public debt ended the Millennium at $5.65 trillion.

During the 1990s under Bill Clinton, the top rate jumped to 39.6 percent.
 
Two things happened in short order. First, the administration spearheaded a significant tax cut that dramatically ratcheted up deficits. Second, the Sept. 11, 2001, terror attacks quickly led to an American invasion of Afghanistan followed by an invasion of Iraq. Neither invasion was funded by additional taxes, and the national debt began growing at a rate of $400 billion to $500 billion per year.

This rate of growth was pushed to $1 trillion per year by the 2008 Great Recession as the Bush administration launched spending programs to combat the worst of the downturn's effects. President Barack Obama continued this policy. During his first term, Obama oversaw spending that grew the debt at a rate of well more than $1 trillion per year, although that rate fell by more than half later in Obama's presidency.

The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 maintained the 35 percent tax rate through 2012.

The Patient Protection and Affordable Care Act added an additional 3.8 percent on to this making the maximum federal income tax rate 43.4 percent.

That would change again in 2018. President Donald Trump oversaw more than $1.3 trillion in new debt during his first full year in office, an amount many expect will grow as his 2017 tax cuts and some recent spending increases continue to impact government finances. As one of the largest tax cuts in modern history. Trump's tax cuts pushed corporate-tax receipts to a 75-year low and alone will likely account for more than $100 billion of new debt per year over the next decade.

UNITED STATES NATIONAL DEBT:

JANUARY 1981 - $997, 855, 000, 000

JANUARY 1985 - $1, 823, 103, 000, 000

JANUARY 1989 - $2, 857, 430, 960, 187

JANUARY 1993 - $4, 411, 488, 883, 139

JANUARY 1997 - $5, 413, 146, 011, 397

JANUARY 2001 - $5, 807, 463, 412, 200

JANUARY 2005 - $7, 932, 709, 661, 723

JANUARY 2009 - $11, 909, 829, 003, 511

JANUARY 2013 - $16, 738, 183, 526, 697

JANUARY 2017 - $20, 244, 900, 016, 053

JULY 2020 - $26, 561, 379, 646, 486

UNITED STATES FEDERAL BUDGET DEFICIT

JULY 2020 -$2, 811, 013, 003, 950

[marijuanasaveslives]

They must have spent a whole hour working on this.

[franciscoangelaguilar]

Why does he not want to release his tax returns is the question.

[btez]

This tax plan is the Worst! Take it from a Finance/Accounting Professional with an Economics Minor. This plan will middle income and working class Americans. The rich of course, Trump's friends, benefit from it. Vote Down this terrible Proposal!

[WildwoodClaire]

I find the idea that the economy will experience exuberant growth if we can just make rich people a little bit richer rather strange. It seems almost as naïve as the curious notion that persons of Donald Trump's "character" regard working people as anything more than insensible equipment or livestock.

[jefferyingram]

Biggest tax cut ? Where your tax return at tho ?

[nathancruz]

Well this is great for married couples with families. But what about us single home owners who work a lot of overtime, how does this benefit us!?

[Fidellio]

2022 GAS here in California is $7 a gallon - FJB

[JoseRodriguez-qbhv]

Fuckin' hilarious! I can't believe it took him nearly 100 days to write a one-page plan. He's like a fuckin' high schooler procrastinting, then bullshitting an essay the night before it's due. Except, he got as far as the outline! XD

[texasscifi]

The good ol days when homes were way more affordable. Prices have doubled since ad. It seems laughable now that 60k would support a family of 4

[XvaleckX]

Came back here in 2024 to say, it hasn’t gotten better for Americans. Only worse because of you trump

[kharnakcrux]

what is.... that tourette's tic with Mnuchin's mouth?!?

[bobbybobby]

Mr. Mnuchin said that Trump has given more financial disclosure than anybody else. lol
Trump hasn't disclosed anything of as yet. And yet Trump said that this will put people back to work. lol

[pnyamu]

just get someone at the IRS to "leak" his taxes.

[Orf]

1:00 great broll. Trump cutting red tape

[chachee]

it's going to help everybody. damn lay off

[douglasvianalima]

what happened with the tax cut. hahaha

[davidr]

He will let you know the tax cut amount when you elect him again lol

[whataworldtoday]

Do people not remember he is trying to creat jobs and grow the base?...of course when he is trying to benefit all businesses it's going to benefit himself as he owns businesses....He can't help all the other businesses and not help himself... duh