RainySunshine
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There is a 100% chance of Sunshine ahead for You.
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« Reply #3065 on: 2025-07-03 00:56:11 » |
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Now that Trump's Big Beautiful Bill in in the news, President Donald Trump’s permanent tax cuts will change the world. Not just the US.
The "big, beautiful bill" is the capstone of years of work to create a pro-growth tax policy that will make the American economy so strong we will leave Europe in the dust and convince China they cannot compete with us militarily or economically.
The big bill provides lower tax rates for all. Permanent, immediate expensing of business investment. Tax simplification. America competing in the world economy with lower taxes, not lower wages. It is the largest spending cut of any budget resolution in history.
The "big, beautiful bill" makes all the temporary parts of the original Trump tax cuts permanent: the doubling of the child tax credit and standard deduction, the lower, across-the-board personal income tax rates for all Americans, and the powerful pro-growth immediate business expensing provisions.
The importance of permanent 100% business expensing cannot be overstated. This is an achievement pursued by the taxpayer movement for the past five decades.
Thanks to the bill, individuals and companies will know how to plan for the future. They can purchase and immediately deduct the cost of plant and equipment. They can place a new factory into service and deduct 100% of the cost.
Democrats will not be able to claw back such widespread and successful tax reductions. Republicans will not have to "buy" extensions of tax rate reductions as they did in defending the previous Bush tax rate reductions.
Following the Trump 2017 tax cuts with its temporary expensing provisions, Americans for Tax Reform compiled over 1,200 testimonials and newspaper reports documenting new investment and higher wages and benefits. The stories flowed in from all 50 states.
Now again, without the pandemic, White House economist Kevin Hassett found that the permanence of individual and corporate tax reduction will increase economic growth to the point that revenue will rise $4 trillion over the next decade.
Growth will increase wages and manufacturing jobs. Growth will reduce the size of the deficit and debt as a percentage of our economy. We will move forward away from the debt as we did after World War II when the debt fell from 100% of GDP to 20% of GDP.
Every Democrat opposes the bill. They’ll have to explain to their constituents why they voted against across-the-board tax cuts, against no tax on tips and overtime and Social Security, against an expansion of the per child tax credit.
The Democrats’ "NO" vote is a vote for an across-the-board tax increase. Democrats want personal income tax rates to snap back to Barack Obama levels. Higher tax rates on every taxpayer and small business and the child tax credit and standard deduction cut in half.
The economy responded to passage of the 2017 Trump tax cuts with massive new investment in the United States. Before the Trump tax cuts many companies were "inverting." They were bought by foreign companies because the American firms were worth more if owned by Canada or a European company—their tax laws were saner than America’s in the time before Trump.
Obama called companies shanghaied by overseas purchases disloyal and "Benedict Arnold" companies. In fact, U.S. policy continued by Obama damaged American competitiveness. The Trump tax cut fixed this and no significant companies have moved overseas since the Trump tax cut was enacted.
The take-home pay of the median family increased in 2019 by 6.8%. That was growth that was driven by the original tax reform that is now being made permanent.
But one notes that the growth came after Republicans lost 40 House seats because the growth did not become evident in time to win votes for the 2018 congressional elections. This time, Trump and the Republican leaders are determined to avoid this fatal delay. The goal is enactment by July 4. The president signed the 2017 bill on December 22, 2017 and it did not take effect until 2018.
Trump and the Republican Congress ensured that this legislation will take effect for new investments as early as six months ago on January 19, the day before Trump’s inauguration. No business needs to wait to invest in job-creating, productivity-enhancing plant and equipment that will make employees more productive and therefore more highly compensated.
And yes, the legislation includes President Donald Trump’s promised "No Tax on Tips" and "No tax on overtime pay" and provides tax cuts for seniors on Social Security.
There are many other conservative wins in the bill. Here are some of the highlights:
Capital gains tax relief is provided through the opportunity zones championed by Senator Tim Scott, R – S.C., that have created jobs and new construction for many previously impoverished areas. The bill allows the designation of additional opportunity zones in all 50 states.
The death tax will hit fewer American farms, small businesses and family businesses as the value you can pass on to children will stand at $15 million for an individual and $30 million for a couple.
Access to healthcare will expand as Health Savings Accounts will become easier for more Americans to maintain or create.
The bill repeals the Biden law that forced taxpayers to deal with confusing IRS paperwork just for using Paypal and Venmo. No more piles of tax forms every time you share the payment for the monthly rent or a dinner out.
And Americans’ hearing will improve as the legislation ends the $200 tax on firearm suppressors.
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