Tag Archives: tax reform

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Tax ‘reform’ unveiled … now let’s see how it affects POTUS

I believe another mega-rich guy, the Texan H. Ross Perot, once said that the “devil is in the details.”

With that, one of the details of Donald John Trump’s tax proposal must include just how this “reform” affects theĀ individual who has pitched it.

Yes, I’m talking about tax returns. Release them, Mr. President.

Treasury Secretary Steven Mnuchin says the president will not release those tax returns. There’s been enough information released already, he said. I disagree, quite naturally, with what the secretary suggests.

The major points about the president’s tax plan include a dramatic reduction — from 35 percent to 15 percent — in corporate income taxes for small businesses and a huge increase in the standard deduction for individuals’ tax returns.

As The Hill reported: “The plan would repeal taxes that mostly affect wealthy Americans, such as the alternative minimum tax for individuals and the estate tax. But it would also ‘eliminate targeted tax breaks that mainly benefit the wealthiest taxpayers,’ according to the one-page outline released Wednesday.”

Why isĀ release of the president’s tax returns relevant? He has not divested himself of his huge business interests. Therefore, heĀ stands to be affected in some fashion by what he has pitched. Americans have the right to know just how Donald Trump’s portfolio is affected.

He isn’tĀ likely to release those returns just because many of his fellow Americans want him to do so. Still, it’sĀ worthĀ making the demand yet again. I believe I will keep yammering about the returns during Trump’s time in office.

But here’s another wrinkle.

How does the tax plan affect revenue to pay for at least two major Trump proposals: infrastructure repair and, yep, that dadgumĀ wall.

Trump wants to spend about a trillion bucks to fix highways, bridges and airports. Will these tax cuts reduce cash flow into the Treasury, making it impossible to “pay as you go” on these projects?

Oh, and the wall is going to cost — according to varying estimates — as much as $25 billion. How does the president intend to pay forĀ that project?Ā Do not tell me “Mexico is going to pay for it.” That will not happen.Ā 

As it’s often said: The president proposes, Congress disposes. You can bet your last nickel that congressional progressives will continue to insist that Trump release his tax returns as condition for any tax overhaul.

My gut tells me the disposition of this tax plan — absent the president’s release of his tax returns — continues to be one of the great mysteries in the nation’s capital.

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100 days: real — or phony — benchmark for POTUS?

Donald John Trump now calls the 100-day threshold for presidential performance a phony standard.

That’s not what he was saying, however, while he was running for the office in 2016. He said repeatedly — and loudly — that he would do more than any other president in U.S. history during his first 100 days in office.

How has he done?

Repeal of the Affordable Care Act? Nothing. Tax reform? Zip. Infrastructure renovation? Forget it. The Wall on the southern border? Ha!

Yes, the president has signed a lot of executive orders. I like a few of them; most of them are clunkers.

Legislative accomplishment? The president has come up empty.

That means the 100-day report card — when it comes due — is going to record a pretty dismal job performance. Unless, of course, you’re Donald Trump, who’s been saying in consecutive breaths that he’s done more than any president in history and that the 100-day benchmark doesn’t mean a damn thing.

Trump’s victory in the 2016 election rewrote the political calculus on so many levels. He wasn’t supposed to win; he didn’t know anything about government; he insulted too many key political demographic groups.

Despite all of that he won the Electoral College by a comfortable — if not a massive — margin over Hillary Clinton.

He’s parlayed that changing political dynamic into some sort of success in his own mind.

I’m not buyingĀ the president’sĀ version of success. And, yes, the 100-day marker for first-term presidents does matter, no matter what the current president might think publicly about it.

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Trump’s big mouth threatens to swallow him

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That dreaded 100-day “deadline” looms for Donald John Trump. We’re about one week away from it.

Will it produce a winning report card for the president? Will those of us in the peanut gallery be able to call the new president’s start a rousing success, which Trump himself has done already?

I do not believe so.

Does the 100-day mark matter? Perhaps it shouldn’t count as much as it does. President Franklin D. Roosevelt set up this artificial barrier when he took office in 1933 and it’s been held as sort of the benchmark for early presidential success ever since.

But it’s early in any new president’s term. Donald Trump is no different.

Except for one little thing.

All along the way en route to his winning the election, the Republican candidate for president kept telling us about all the things he would accomplish in those first 100 days.

* Affordable Care Act? Repealed and replaced.

*Ā Tax reform? Enacted.

* Draining the swamp of corruption? He’d institute a new government ethic.

What’s happened? The ACA remains. Tax reform hasn’t even been introduced. The swamp is still full.

The president can count precious few legislative triumphs. In fact, I can’t think of any. Can you? He’s signed a lot of executive orders. I particularly like the one that banned government officials fromĀ becoming lobbyists immediately after leaving public service.

Sure, he launched that missile strike against Syria after that horrendous chemical weapons attack. I give the president kudos for that action. But he’s got North Korea sounding more threatening than ever; Trump said he dispatched the “great armada” led by the USS Carl Vinson, but the carrier-led strike group to date is nowhere near the Korean Peninsula.

Donald Trump’s very own big mouth has victimized him.

Just maybe once the president gets past this 100-day hurdle,Ā he will decide to tone down his constant boastfulness and learn finally — finally! — that governance requires much more than shooting off one’s big mouth.

business news, national news, political news

Health care overhaul? Kaput! Tax reform? That’s next!

Let’s see if we can figure this one out together.

Donald J. Trump and congressional Republicans botched a plan to repeal and replace the Affordable Care Act, a law that took about a year of tough negotiation and dickering to enact in the first place.

Trump and his pals in Congress tried to do it in the span of 17 days. They failed to muster enough support from, oh, just about any faction within the GOP. TEA Party, Freedom Caucus, party moderates all hated the American Health Care Act, which the Republican congressional leadership pulled out of its backside in the dead of night.

ACA repeal and replace? Gone. Finished. As House Speaker Paul Ryan said, “(The Affordable Care Act) is the law of the land for the foreseeable future.”

What, then, do Trump and the Trumpkins — the gang that cannot legislate its way out of a wet paper bag — want to do now?

Tax reform. Tax reform!

ACA repeal and replacement was complicated enough. Indeed, the president admitted he didn’t realize it could be so complicated. No kidding, Mr. President.

I’ve got your “complicated” right here, though. If you’re going to take on the big stuff, you’ve decided to go after the biggest of them all: reforming the federal tax code.

Presidents of both parties have been saying for decades that the tax system is too complicated, too cumbersome, too this and too that. What have any of them accomplished? Damn little!

The tax system is a monstrous entity that requires careful study, analysis, expertise and patience to repair. Does anyone really think that the president of the United States — based on what we’ve just witnessed — is capable of learning the nuts and bolts of tax policy? Does he really and truly even give a crap about it?

And what about the speaker of the House, who presides over the congressional chamber where all tax policy must originate. How well do you think Paul Ryan did in engineering the House’s role in the cluster fudge that resulted in the ACA replacement meltdown late this past week?

Good luck, gentlemen. You will need all of it you can find if you have any chance of succeeding in this monumental effort.

national news, political news

Sen. Graham shows what’s wrong with GOP

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Don’t get me wrong.

Sen. Lindsey Graham — himself — is not what is wrong with today’s Republican Party. The South Carolinian’s departure this week from the 2016 presidential race illustrates what’s so troubling about others within the GOP.

Graham represents what — for the time being — appears to be a dying breed of Republican. He’s one of those individuals who works with Democrats, not against ’em.

His reputation, thus, has become of one what hardcore Republicans call RINO, a Republican In Name Only.

Graham isn’t a RINO. The label is undeserved, except for the fact that he has many friends on the other side of the Senate chamber, which I guess has become something of a kiss of death these days among the Republican Party “base.”

He became quite critical during his presidential campaign of much of the rhetoric coming from his fellow candidates. Remember when he called Donald Trump a “jackass”? He became one of the first targets that Trump singled out, reciting Graham’s cell phone number aloud at a public event.

Graham, though, had the bad form — in the eyes of his GOP base — to work with Democrats on such issues as climate change, immigration reform and tax reform. It didn’t matter that the former Air Force lawyer has been a staunch advocate for a strong defense and that he has been at the forefront of calling for more — and pardon my use of the euphemism that I detest — “boots on the ground” in the fight against Islamic terrorists.

Perhaps it was Graham’s vote against articles of impeachment against President Clinton in 1998 — as a member of the House Judiciary Committee — that sealed the deal for the GOP base.

Whatever, this faithful Republican is now out of the presidential race because he isn’t hardcore enough to suit the red-meat Republicans who still see Democrats as “enemies” and not more “opponents.”

That’s too bad.

For Graham and for his Republican Party.

 

 

 

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Is Trump … a socialist?

income tax

Let’s see how this goes.

Donald Trump wants to eliminate the tax burden for individuals who earn $25,000 or less annually, and for families that earn $50,000 a year. He would allow them to pay no federal income tax — none, zero.

He wants to reduce theĀ corporate tax rateĀ from 35 to 15 percent; wealthy Americans would get a reduction in their income tax from 39.6 percent to 25 percent.

But … he vows to eliminate hundreds of loopholes that he says in effect will generate more revenue for the government and grow the economy. Trump said his plan is going to “cost me a fortune.”

Is the leading Republican presidential candidate a socialist in the mold of, say, Barack H. Obama, who also has argued for reducing the tax burden low-income Americans?

My strong hunch is that the GOP faithful are going love this plan, as it’s coming from a Republican. When something like this comes from a Democrat, well, he’s just another wealth-distributing socialist who’s intent on “destroying the American dream.”

Uh, Mr. Trump? What about that national debt?

Trump tax plan

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Now comes the time for negotiation

President Barack Obama has just given his congressional Republican foes something with which to negotiate in the drive to boost the nationā€™s economy.

Will they take the deal or will they insist ā€“ as they seemingly always do ā€“ that the president isnā€™t dealing in good faith, or some such nonsense.

http://thehill.com/blogs/on-the-money/domestic-taxes/314497-obama-offers-deal-to-cut-corporate-tax-rate-to-28-percent

Obama has proposed a dramatic reduction in corporate tax rates in exchange for spending on infrastructure improvement, the kind of thing that at least one notable Republican president ā€“ Dwight Eisenhower ā€“ used to favor.

Now, where I come from, Obama has just given the Republicans who control the House of Representatives and who comprise a sizable minority in the Senate, something upon which to negotiate.

The spending program would produce more jobs for those willing to work on infrastructure improvements ā€“ roads and bridges, that sort of thing. Politicians of both parties say they want to put more people back to work. Republicans, meanwhile, insist that corporations pay too much in taxes. Thus, the president has gone the extra mile ā€“ maybe two or three ā€“ in meeting their demands.

Initial reaction to the plan, as reported by The Hill, is lukewarm at best. ā€œThe plan, Senate Minority Leader Mitch McConnell (R-Ky.) insisted, was ā€˜an unmistakable signal that the president has backed away from his campaign-era promise to corporate America that tax reform would be revenue-neutral to them,ā€™ā€ the Hill reported.

Maybe McConnell is merely using that response as a negotiating ploy. Then again, maybe itā€™s just the Republicans digging in their heels yet again on another proposal from their Democratic adversary in the White House.

If itā€™s the latter, weā€™re heading for a rocky autumn season, courtesy of continuing GOP intransigence.