It seems that the Left is jumping into crazy with both feet now the Trump tax cuts have been announced. The plan is still being tweaked so details are a bit scant still, but of course that did not stop the Left from turning up the outrage to eleven. There have been several tweets that are pretty mind numbingly stupid so far so I decided I would look at some of the dumber ones that were included in an article written by The Daily Caller and bring some sanity back to the world.
So the tax plan today is basically, “Really, we’re going to do something. See, here’s a page that says we’re going to do something.” ???
— Ginger Gibson (@GingerGibson) April 26, 2017
This is from a correspondent from Reuters who like many Leftists believe that our tax code must be overly complex. Think of the benefits if we reduced the tax code down from the current 74,608 pages. Millions of hours and dollars are wasted every year with people and companies trying to understand and filing their taxes. How many special interests over the years have lobbied and received breaks that benefit only their company or industry? People complain about loopholes and how many people abuse the tax code to drive down their rates, but if it were simplified there would be less places for the rich and the corporations to hide what is being done with their taxes. It would be nice to see Mr. “I own three houses” Sanders pay a tax rate that was his actual fair share instead of the 13% he did pay. Lastly think of the cost that the government could save in reducing the amount of bureaucracy that has to manage this fiasco. Not that I think they could get there, but getting the personal income tax down to a handful of pages would be a big win for Americans across the board as many would be able to save the money they pay out yearly to obtain assistance in filing taxes.
Americans should stop seeing the tax code as a method through which certain behaviors can be induced. It’d be a radical paradigm shift.
— Noah Rothman (@NoahCRothman) April 26, 2017
Yes the tax code rewards behaviors that promote stability in our society… and this is a good thing. The more stable our society is the better it is for all Americans because wait for it… families that are stable contribute more in income, sales and property taxes which helps fund those leftist government programs. Two parent households help guard against poverty and home ownership leads to more stable home environments for children. I personally believe that everyone should pay a flat percentage, but if we are going to add incentives to the tax code then let them be things that drive behaviors that positively benefit our society.
Trump tax “reform” plan would hurt middle class families from New York State as it would prevent us from deducting state and local taxes.
— Joseph Amodeo (@josephamodeo) April 26, 2017
Yes some people would lose access to this deduction. The people impacted would be high income earners in Blue States where they are paying a higher local and state income tax. However, this only applies to those tax payers that itemize their deductions which is only about 1/3 of tax filers most of which are earning north of $100,000. For the majority of tax payers who are claiming the standard deduction this represents a tax cut because as they are planning on doubling the standard deduction. So in certain situations there are some who in the end would pay a higher tax, but then this becomes a reason for people to ask their local and state governments to be more fiscally responsible with your tax dollars.
Tax cut for the richest. I don’t understand this. https://t.co/jKdtMC6f4A
— Adrija Bose (@adrijabose) April 26, 2017
Yes it is a tax cut for the richest and pretty much across the board. Why allow the richest to keep more of their money? Oh I don’t know because they spend it and create jobs with what they don’t have to fork over to the government. When is the last time a poor person gave someone a job? I am sure some SJW is going to email me the one cherry picked example, but we have to admit that it is the exception and not the rule.
Trump’s had a productive 24 hours: Threatening to kill insurance subsidies for 7 million low-income people AND promising corporate tax cuts.
— Ned Resnikoff (@resnikoff) April 26, 2017
Yes tax cuts for corporations. More importantly tax cuts for small businesses which from which the majority of our jobs are generated. America has one of the highest corporate tax rates in the world which is handicapping our competitiveness on the global market. You want companies to repatriate money they make overseas and reinvest stateside then you have to make the business climate more attractive to relocating operations abroad.
getting a deduction for paying interest on my student loans is one of my only joys every tax season
— Sarah Jones (@onesarahjones) April 26, 2017
Ah yes the deduction that caps out at 2,500 and can only be taken if your adjusted gross income is less than 80K for singles or 160K for married couples. As I have already pointed out this one only works if you itemize which most taxpayers do not. So this is where simple math and logic come into play. Would you rather pay a lower tax rate on the entirety of what you earn or pay a higher tax rate and lower the taxable amount by 2,500. Let’s use round numbers to make it simple. If you make 50K and would be reduced to an effective 10% tax rate under the Trump plan your Fed tax amount would be $5,000. If you made that same amount and were taxed at 15%, but took the deduction of 2,500 (Assuming that you paid that much in student loan interest for the year) then you would have 50K – 2.5K * .15 which would result in a Fed tax amount of 7,125. Yes I know I left out several parts to the equation, but I did it for simplicity’s sake and the basic premise is the same; paying a lower tax rate is many cases will be better than paying a higher rate that you reduce by that small of an amount.