death and taxes and more taxes
The White House released its analysis of the GOP tax reform plan Monday, touting corporate cuts that administration officials estimate would eventually increase the average household income by $4,000 per year. President Trump has signaled a willingness to be flexible on the terms of the final tax legislation, although he's been firm on cutting corporate taxes to 20 percent, down from 35 percent, The Hill reports.
"More assets like machines let workers produce more, and when workers can produce more, businesses can afford to pay their workers more," explained White House Council of Economic Advisers chairman Kevin Hassett.
Democrats have pushed back on the report, with Senate Minority Leader Chuck Schumer (D-N.Y.) claiming the CEA used "fake math" to reach its conclusions. "This deliberate manipulation of numbers and facts could lead to messing up the good economy the president inherited from President Obama and hurting the middle class," Schumer argued.
The nonpartisan Tax Policy Center has weighed in to say that "overall benefits of lower corporate taxes tilt heavily toward those with higher incomes," Reuters reports. "It said middle-income taxpayers would receive less than 10 percent of the benefit of a corporate rate cut while the top 20 percent would receive about 70 percent. The top 1 percent would see about one-third of the benefits and the top 0.1 percent would get about one-fifth, the center has said."
Trump blasted Democratic opposition on Twitter: "The Democrats only want to increase taxes and obstruct," he wrote. "That's all they are good at!"