Henry Olsen actually gets something right. Why indeed is Larry Kudlow promoting a 15% income tax rate for “the middle class” when, in fact, the middle class already pays less? The 15% tax bracket doesn’t even begin until $80K taxable income – with the standard deduction @ $25K, this means Americans already don’t pay 15% until they hit $105K of income. This is nearly 50% more than the median income in the U.S.
As Olsen says, potentially this could make my brother in MA and cousin in NY very happy, as they got less than $200 in a tax cut due to the SALT limitation that screwed successful states. But this does nothing for the vast majority of Americans and is unlikely to change the anti-Trump votes of those who would benefit. To say nothing of the fact that it will blow up the deficit even higher.
Once again, a poorly conceived tax bill from an incompetent administration. We’re still trying to fix the many errors and unintended consequences from their last bill. I don’t want higher taxes, and especially think a wealth tax is a poor and stupid excuse that addresses a symptom and not the cause. But this tax bill would do nothing but make the problem worse.
I often hear the right screaming about socialism, how we’re going to be the next Venezuela under Democrats. No, we’re going to be the next Japan, thanks to the Republicans. A debt to GDP of 236%, limited immigration and ignorant nationalism despite a labor shortage, a birth rate of 1.4, with an elderly population headed towards 33% of the population. Middle class Japanese working 80 hours a week, but getting nowhere due to low growth and rising real estate and stock market prices that only benefit the 1%. A supposed democracy reduced to a de facto oligarchy in which a few keiretsu leaders effectively control the country.