Many Americans heard Donald Trump say “middle-class tax cuts” and threw their arms up victoriously. Finally, the President was going to stand up for the common man and not help out the 1%. Hold the phone there. By looking deeper into Trump’s new plan, you’ll find out it’s not exactly what it seems.
DONALD TRUMP TAX CUTS ONLY HELPING BUSINESS OWNERS
Donald Trump didn’t lie. The middle class will experience some nice tax cuts. However, he failed to mention that these will only benefit business owners and the rich.
For example, shareholders of companies will get a nice rate cut of 35 percent to 20 percent. Furthermore, small businesses that pay taxes on their own returns as opposed to with a corporate filing pay no more than 25 percent. That’s down from the current rate of 39.6 percent. Lastly, the richest Americans get a nice tax break from 39.6 percent to 35 percent.
DONALD TRUMP STILL PROMISING TAX CUTS FOR LOWER CLASS
At the moment, the lower and middle-class of America are not seeing anything in the way of significant tax cuts. Donald Trump says not to worry though. His administration is promising to set new rates that will save the lower and middle class some money.
When that decision finally arrives is anyone’s guess. However, the administration assures us that “this package is completely designed with the middle class in mind.”
DONALD TRUMP’S TAX CUTS CAUSE CONTROVERSY
A huge part of Trump’s campaign was that he would not lower taxes for the rich. However, it looks like Trump’s current plan is to do just that. Furthermore, the new plan will increase the debt by however much House and Senate members want to allow in their new budget resolution. However, there is hope. If these tax changes do go through, they will expire in 10 years. Until then, start saving your money.