They’ll find out what’s in it after they pass it.
There is no premature gas about Congress, Congress is perpetual farts whenever they are in session.
Can't wait for Trump to crow about what a great tax reform bill he has gotten passed, as he crows about the stock market rise all due to his administration. The stock market was all a bubble before he got elected, but now it is real and due to his policies. You have to wonder how far the attention span is for the average American voter and why these politicians think we are stupid or are they right.
Every major reform has something for everyone to hate, but this tax bill - as it is developing - moves both politics and the economy in the right direction.
1. The reduction in corporate taxes is the centerpiece; watch capital flow into the U.S. as soon as it goes into effect.
2. Eilimination of SALT ( state and local deductibilty) is a kick in the pants to wealthy liberal voters in big-government states.
Don't believe the fake news that this reform is all for "the rich." The burden of corporate taxation doesn't fall just on the wealthy, it falls on consumers and workers, too.
Once again, the press lies.
In all the years I've filed taxes, more than I like to remember, I only had enough to itemize while I owned a rental house. The rest of the time, it was standard deduction.
Can you guess how much eliminating SALT (State & Local Tax deduction) affects you?
If you don't itemize, it doesn't affect you at all. And with the standard deduction doubled, that's a lot more people than it used to be.
So, those with high property tax bills and high wages will pay more. Most others, due to the larger standard deduction, less.
Lowering the corporate tax rate is not going to pour billions of dollars into the US, the corporates are already invested in other countries, all they will do is do more stock buy backs and acquire other companies as they have done for years with zero rate FED funds.
The tax"reform" bill reforms jack, it just is an attempt to continue to prop up the market, it might do that.
AND no one gives a damn about the deficit, as it has gone beyond reason. The chump change you will get from the standard deduction won't pay for a dinner out and all that to line some CEO's pocket. I see that real estate speculators like this bill, can you imagine with Trump's past and present. same ole same ole from the feudal society
Why do I feel like watching South Pacific?
How about Les Mis. ?
I was thinking about Happy, Happy, Happy, Happy Talk!
Your knowledge of popular song is impressive. Which reminds me.
Sam and Janet.
Sam and Janet who?
Sam and Janet Evening.
Memo to Mike G.-
That was a joke; nothing to do central banking.
Economike: Welcome back, I had given you up for dead. Unfortunately you brought your lack of understanding of the economic system with you.
Just like that, he reinforces the post I just made elsewhere.
I was curious enough to look for that post. It was worth it.
Some things don't change. Mike G. is still the world's greatest authority on the hidden power of central banking. And pmconusa is still the world's greatest authority.
By Jove, Emike, I think you've got it! There may well be genes from academia in the pmcon mix.
Who among other things, gave us this:
The truth is the truth and needs no reinforcing. To deny it however exposes one to the dominance of the Progressives who thrive on half truth or lies.
Unless the truth is presented as the only truth and any other view is put down as a failure on the individuals part.
You can say that again.
Gobbledygook plain and simple.
The "world's foremost authority" only speaks and comprehends one language.
Wanna guess what it is? Or maybe he'll offer a Rosetta Stone for sale soon.
It is laughable that what the FED has done since the 2008 bailout with its QE and zero interest rates and other central banks capitulation in the whole equity market scheme is still supported whole heartedly by Economike and some others here.
My question for you emike, have you been able to secure some servants to watch over your grandchildren with the Equity market's rise over the last 8 years? Shirley, your main concern. LOL.
I'm thinking that emike knows how important getting bailed out is and how bailing out of the bubble is, that I'll certainly give him.
Further when emike gets on amg and tells you how great a Tax Reform Plan is for the average stiff, you can expect that he wants to further prop up the equity markets for him to glean a bit more out before it crashes, or just a 15 to 50 % correction, who knows
Hey MikeyG: wanna provide some evidence to support that assertion?
You and pmcon seem to be birds of a feather. Absence of homage declared in the prostrate position is taken as worship of the devil.....
Mike G. -
I wrote in approval of a reduction in the U. S. corporate tax rate. Nothing more.
What central banking scheme do you imagine I have endorsed? Why don't you connect the dots so ordinary people can follow along?
Here is a link, an opinion piece that briefly discusses our FED. There are many more.
I'm sure I can find Congress's kick the can down the road, elsewhere, but let's consider the real 800 pound gorilla in the room, The FED and how it has bought 4.5 Trillion dollars of assets out of thin air to both prop up the market and Congress and it's spending, and now expects to balance it's books. 20 billion a month for how many years to get to 4.5 trillion?
Money from nothing
Here's another oped, yeah I know its not WAPO or New york Slimes, but bear with it.
For the umpteenth time, corporations do not pay taxes, their customers do. For a corporation, a tax on profits is a cost of doing business that is passed on to the customer. If corporations get a tax cut, and many of them pay no tax at all, the savings will not go into reduced prices but to increased salaries to management and through union extortion to the production workers. Yes that will give them more money to spend but unless you tax it at one hundred percent it is not revenue neutral.
This same scenario has already been repeated when corporations started eplacing workers with machines. Prices did not go down and the remaining union labor extorted the benefits from the employer. People used to invest in stocks to reap the benefits of ownership through dividends. Many corporations do not pay dividends and people now invest in stocks whose price is likely to rise not knowing the brokerages and the banks manipulate stock prices with elaborate computer programs that allow them to make profits when stocks rise or fall. Just look at the stock market. The has jumped over the last few years from 14,000 to now over 20,000. You cannot prove to me that the corporations that make up the Dow are nearly 50% more valuable.
All these machinations are possible because of the economic system we have adopted that allows the means of exchange ($U.S. Dollar) to accumulate and reduce in value with each addition. Unfortunately this system has been in place for centuries when we shifted from barter to money to effect exchange. The entire story is contained in my book "The Real Economy", a book that the Progressives on this site have not read but are quick to criticize. They however have not been able to find any flaws in my thesis or even come up with a defense of the current system, whose foibles I have pointed out frequently on this blog.
Attention AMG Progressives,.
Unable to find flaws,defense of our system , identify foibles and suffering with premature criticism there is sad news.
Dr Sheldon Bornstein can not help you.
But reading " the book" might .
One problem with the tax bill is that many small businesses pay their taxes on individual tax returns instead of corporate ones. One hopes that the bill will help these businesses too, since they make up a large percentage of the overall mix. And of course they pass along the tax burden - if they can still compete - what else can they do?
Money represents value, specifically the value of a person's labor or creativity.
Since there are more people and more products, why can't there be more money to represent that added value?
“One problem with the tax bill is that many small businesses pay their taxes on individual tax returns instead of corporate ones.”
The House version has a tax cap of 25% for pass-throughs (S-corps, partnerships, sole proprietors). The problem with that is that most of those small business you’re referencing would see nothing because their income isn’t taxed above 25%. It would just help the top earners.
The Senate version lets all pass-throughs reduce their pass-through income by 23% before arriving at their taxable income. Of course the higher the income the higher the tax rate so that would save more dollars but this at least helps all some , not just the chosen top earners.
Well, hopefully they'll reconcile on the better of the two. That could make a huge difference for folks starting a small business. I've always hated the fact that you have to waste money on lawyers to make corporate structures in order to save money on taxes.
Top tax rate cut to 37% (from 39.6%)
State and local taxes capped at $10,000 (Susan Collins is the person you can thank for that, even if you hate her, she probably just saved you a fuckton of money)
Corporate tax rate at 21% (up from 20%)
AMT exempt up to 500/1mm (don't know what it was before)
No CBO score yet (they're not done), but estimates put the increase in deficit at only a $1,000,000,000,000 over 10 years. (Down from $1,500,000,000,000. Yay, I guess)
It's worth noting that Jones winning puts even more power in the hands of Collins.