The GREAT TAX DEBATE .

When it comes to Tax cutting ,
both parties suffer from
senility 

When it comes to cutting taxes , we are being lied , have been lied by both political parties . Lied for a long time . Sorry Americans , you are not getting your taxes cut by any degree , the nation has (1.1)>>to pay down a huge deficit . Their a trying paying down the last decade war on terror that is still costing us taxpayers "trillions" of dollars still  . The main problem with our nations government is that its giving out trillions in handouts to other nations while the tax burden has been forked on the backs of Americans . Yes your taxes are too high , your wages are too low .  For decades, both Democrats and Republicans have used the tax code as a way to hide spending. Instead of authorizing money for a program aimed at achieving some public policy goal, lawmakers rejiggered the tax code, adding special breaks here, refundable tax credits there, or punitive taxes somewhere else. Mr. Trump's attempt for Christmas "relief" is nothing but a spin on what (1.2) >>Mr. Obama did back in 2010 , what Mr. Bush did back in 2000. HONESTLY FOLKS we are SUCKERS when the government says their going to cut any taxes . If you look at at glance taxes have risen since 2000 . YES , despite what the government says when they are going to cut taxes , its noting but a farce . The reason here is that cutting Federal Taxes on people will not reduce State taxes . What ever state you live in in this country , everything the Feds cut into taxes , the Local & State governments fill in the gap of revenue losses , they start to raise your state taxes just to keep local governments running .  Analysis

of six decades of data found that top tax rates "have had little association with saving, investment, or productivity growth." However, the study found that reductions of capital gains taxes and top marginal rate taxes have led to greater income inequality. Past studies cited in the report have suggested that a broad-based tax rate reduction can have "a small to modest, positive effect on economic growth" or "no effect on economic growth."  The Federal government is left to pay off a deficit that I think soon Mr. Trump will deliver some scary news to us Americans like cutting Entitlements , budget reductions. MORE EVER  Millions of taxpayers will see a tax increase in 2017: they just won't realize it immediately. That's because the tax increase won't be found with a bump in income tax brackets (more on tax brackets from Claudia Hill here) or a rate increase but a change in the cap on wages subject to Social Security taxes.. When congressional Republicans tried to repeal Obamacare, Mitch McConnell compared the challenge to solving a Rubik’s cube — (1.3)>>and he ended up stumped. Now, GOP leaders have taken up the cube yet again as they try to solve the fiendishly difficult legislative puzzle of tax reform.The party’s politicians, experts, and activists have long been more animated by the tax issue than by health care, so it would seem simple to unite them around one bill. If the modern Republican Party can be said to stand for anything, it is tax relief. (2)>>Yet as the Republican effort to write and pass tax legislation develops, it looks increasingly possible

— and perhaps even likely — that it, like the health care overhaul attempt that preceded it, will end in failure and disappointment.  As long as the tax reform bill doesn't simplify things with tax cuts for everyone, it won't stand a chance of passing. And to do that, the GOP needs a captain who can set out a clear course. What we're all seeing now is what happens when Congress doesn't have a good enough leader to keep it focused on a national goal. Without that, each locally elected member simply starts a mutiny, looking out for his or her own constituents.(2.1)>>The Republicans, however, could champion cutting taxes by a lot more than $1.5 trillion. That’s because their leaders are predicting that tax reductions, especially (3)>>chopping corporate tax rates WILL create more jobs and stir the "economy" ? Today, Republicans extol the virtues of lowering marginal tax rates, citing as their model the Tax Reform Act of 1986, which lowered the top individual income tax rate to just 28 percent from 50 percent, and the corporate tax rate to 34 percent from 46 percent. What follows, they say, would be an economic boon. Indeed, textbook tax theory says that lowering marginal tax rates while holding revenue constant unambiguously raises growth. There unfortunately isn't an easy answer, as research has been mixed as to whether tax cuts definitively result in stronger economic growth. The "economic theory " here is that  cutting taxes would put more money in the consumers hands , but as I stated above any tax breaks from the Feds are stalled by local and state taxes ..In 1980, 1984 and 1988, Ronald Reagan and George Bush won three presidential elections by promising to cut taxes and then cutting them. George Bush raised taxes and lost the next election.    { READ MY LIPS ! NO NEW TAXES } Donald Trump, who has refused to release his tax returns, says under his latest tax plan (4)>>you will be better off and he will be worse off. “Tax reform will protect low-income and middle-income households, not the wealthy and well-connected,” he said Wednesday. “And it’s not good for me, believe me.”

NOTES AND COMMENTS:

(1)>>to pay down a huge deficit . A few months ago , Treasury Department announced  Friday that the U.S. government ran a budget deficit of $666 billion dollars in the 2017 fiscal year, which ended September 30. Trump’s Treasury Secretary, Steven Mnuchin, has said economic growth spurred by lower tax rates would offset losses to federal revenue and actually reduce the debt. Most economists don’t buy that resurrection of “supply side” or “trickle down” budget logic, with the majority of 26 surveyed by Bloomberg saying a version of the tax plan floated last month would increase both annual deficits and the total national debt even more dramatically. (1.2) >>Mr. Obama did back in 2010 , what Mr. Bush did back in 2000.  As far back as 2007, candidate Barack Obama said it was time to raise income taxes on high earners, whom he classified as couples making at least $250,000 and single people making $200,000. Because of the way tax laws were passed during the George W. Bush administration, taxes were set to go up for all income levels back in 2010. President Obama, however, agreed to a compromise with Republicans in Congress, and they passed legislation to let the income tax rates continue unchanged for another two years.   The Bush tax cuts were heavily skewed toward the wealthy with more than half of the entire benefit going only to the richest 20 percent. President Obama’s tax cuts, on the other hand, are distributed more evenly. Eighty-five percent of the benefits of the Making Work Pay tax credit, for example, went to the bottom 80 percent of households, and because the very wealthy don’t pay payroll taxes on all of their income, the payroll tax cut, too, benefits the middle class much more than the Bush tax cuts did.Second, the Obama tax cuts are temporary.    (1.3)>>and he ended up stumped.The “idea” behind House Speaker Paul Ryan’s Folly remains a $5 trillion reallocation of wealth to corporations and rich individuals. Part of the bonanza is to be redirected from today’s upper middle-class, a tiny bit will be raised by closing corporate loopholes, and the lion’s share will come from probably doubling the federal deficit. The alternative minimum tax — gone, undoing the handiwork of left-winger Richard Nixon. The inheritance tax will be phased out. One change makes sure President Donald Trump pays virtually no tax — in the one tax return of his we’ve seen, most of the taxes he owed was AMT — and the other means his children will inherit billions tax-free. (2)>>Yet as the Republican effort to write and pass tax legislation develops, it looks increasingly possible .  This all goes without saying, but the point of the GOP's tax cut extravaganza is more about a poorly analyzed populist movement against "big" government - which by their definition is anything that doesn't benefit them or their ideals directly.The fastest way to get this country moving again is to remove Republicans from Congress. They are holding up tax hikes on the rich and infrastructure stimulus, both of which would be no-brainers if far-right radicals were not in charge of the Republican Party.Likewise, tax cuts are also stimulative if they increase the budget deficit. However, taxes are mainly redistributing money from some to others.  Our taxes get paid back out to retirees, doctors, military companies, etc.  The multiplier is based on what extent the recipients will spend it.  Income tax cuts for the wealthy gives those folks more to save or bid up stock prices with; they don't spend as much on goods and services as poorer folks.  On the other hand, payroll tax cuts can be used for consumption by poorer folks.  Hence, the much larger multiplier for payroll taxes than income taxes most economists have found.(2.1)>>The Republicans, however, could champion cutting taxes by a lot more than $1.5 trillion.  These tax expenditures force tax rates up, which in turn increases the pressure to add more special tax breaks. The goal of reform should be to move the tax code in the exact opposite direction — toward lower rates and fewer "tax expenditures." In other words, a flat tax that raises enough money to fund government programs that people are willing to pay for, and does so in the most efficient and least economically distorting way.  (3)>>chopping corporate tax rates WILL create more jobs and stir the "economy" ?. Some basic facts .The primary purpose of the Republican Party is to help the wealthy keep more of their own money.  They have created an entire mythology (e.g., tax cuts increase revenues) to dupe the masses into supporting them. 1) The US spends more per capita on education than the UK, Australia, Canada, Finland, France, Germany, Korea & Japan. In fact, the US spends more than the Japan & Korea combined. 2) The US is 4th in the world in worker productivity per hour to Norway, Luxembourg & the Netherlands, and no one works more hours than US workers. 3) Why are we are taxed more it seems First among all industrial nations the US spends more on military . Mr. Trump increased military spending this year , so WHO IS GOING TO PAY FOR THE INCREASE IN MILITARY SPENDING????? THINK !!!!  (4)>>you will be better off and he will be worse off. With those axioms prevailing, we can now understand that he is lying about the rich not getting any benefits from these new tax proposals, and be assured that it will have a direct correlation to his own financial portfolio. He doesn't care because by the time it gets to be factual knowledge to the public, if and when the lawmakers make repeals or changes, he will already have profited in the millions on millions of dollars he succeeded in hording off the new proposals and will not care about whatever they can accuse him of after the presidency is over. His original plan was to run 4 years, doubling on his $3.5+billion and run off laughing afterwards.