Evansville (WEHT/NNDC) – President Trump’s administration released its much anticipated tax plan on Wednesday.
The biggest proposal would cut the corporate tax rate from 35% to 15%, which officials say would be the biggest tax cut in U.S. history. It’s estimated this would lead to $4 trillion in lost revenue.
8th District Congressman Larry Bucshon (R-Newburgh) released the following statement on the proposed tax plan:
“Traveling around the Eighth District over the past two weeks, I consistently heard from Hoosier families and job creators about their frustration with a broken and burdensome tax code. And as Tax Day came and went earlier this month, we were all starkly reminded that the current system is just too complicated and too complex. By just about every measure, it’s clear that the tax code needs significant overhaul. Over the past eight years the U.S. economy hasn’t grown at its full potential, which has translated to fewer jobs and less take-home pay for families. Implementing fundamental tax reform – a simpler, fairer tax code that gets rates down for everyone – is absolutely necessary to get the economy firing on all cylinders. That’s why I am encouraged to see President Trump set broad goals for tax reform today that builds on the Better Way initiative House Republicans released last year. President Trump’s proposal will help provide a guide for Congress and the White House to work together to achieve much-need tax reform to grow the economy, create jobs, and provide more certainty for families.”
For individuals, the ‘Trump Plan’ would:
reduce the number of tax brackets from seven to three and cut the top marginal rate from 39.6 to 35 percent
double the standard deduction, while eliminating most tax breaks except for home ownership and charitable deductions
repeal several taxes, including the Alternative Minimum Tax, the estate tax, and the Obamacare tax on investment income
For businesses, the plan would:
reduce the corporate tax rate to 15 percent, paid for with unspecified cuts to “special interests” and a “one-time tax on trillions of dollars held overseas”
allow small-business owners to have their income taxed at 15 percent.
move to a territorial tax system, in which businesses would only pay tax on income earned in the U.S.