Trump tax plan: Relief for his voters but lots of unknowns

Trump tax plan: Relief for his voters but lots of unknowns

"President Trump's tax reform plan still lacks important details but as it stands, the plan appears it would add significantly to the debt", the CRFP said. But Trump's top economic adviser used some bad math to describe the proposal, raising questions.

Repeal the Affordable Care Act net investment income tax. But that's not double. "I think there's 80 percent or more common ground here; we've got some work to do", said Texas Republican representative Kevin Brady on Thursday.

Although most corporations don't pay the highest rate on their "book income", Kauffman said, the proposed cut would save taxes on what amounts to their effective rate.

Florida, on the other hand, has no income tax. "No one wants to see their children have to sell the family business to pay an unfair tax".

Assuming lawmakers can keep the government running, the next big item on the legislative agenda is tax reform. Meanwhile, almost 75 percent of Americans think Trump should release his returns - something he repeatedly promised to do during the campaign. The plan says simply, "Eliminate tax breaks for special interests".

The corporate tax rate cut from 35 percent to 15 percent. But whether they pay more or less depends largely on details that have yet to be released. It was one thing to cut tax rates without much concern for deficits when the ratio of national debt to GDP was 30 percent, as it was in 1981.

Donald Trump threatens Canada over milk imports
Canada shouldn't be able to "change the rules on [the U.S.] in the middle of the game", Tom Vilsack, current head of the U.S. Answering a reporter's question Thursday about the possible timeframe for NAFTA talks, Trump said: "It'll start very soon".

Currently, the American tax code has seven brackets. But we don't know the income levels for those brackets, so we have no idea how that would affect individual taxpayers.

Administration officials intend to finalize details with members of the House and Senate in the coming weeks for what would be the first massive rewrite of the US tax code since 1986.

Among the likely winners in President Donald Trump's tax-cut plan would be a real estate developer turned reality TV star who now happens to occupy the White House. Without it, he would have paid just $5.5 million, according to a leaked copy of that year's return. To pay for the cuts, the administration would eliminate all tax deductions, except the mortgage, charitable giving, and retirement savings deductions. "That is a awful situation for this country but last year is not this year".

Overall biggest winners: Corporations, already making near-record profits, which would see their top marginal tax rate fall from 35 percent to 15 percent. Eliminating the estate tax and the AMT, in particular, will make it a hard sell.

First the good news, if you're rich and like paying fewer taxes.

Alan Viard, resident scholar at the American Enterprise Institute, says administration officials will nearly certainly ensure that no one pays a higher rate on the same income.