Trump to Order Corporate Tax Rate to 15%, Load Up 2 Trillion in Extra Debt

Trump has ordered his White House aides to accelerate his tax plan, the WSJ writes, "slashing the corporate rate to 15% and prioritizing cuts in tax rates over an attempt to not increase the deficit" which means that without an offsetting source of revenue, Trump is about to unleash up to $2 trillion in extra debt, a proposal which will face fierce pushback from conservatives as it appears to be a continuation of the status quo under the Obama administration, and may well be DOA.

Other urls found in this thread:

youtube.com/watch?v=Rksd80-FCAw
zerohedge.com/news/2017-04-24/trump-order-corporate-tax-rate-cut-15-load-2-trillion-extra-debt
forbes.com/sites/abigailtracy/2016/02/19/google-moved-billions-of-dollars-to-bermuda-to-avoid-taxes-again/amp/
twitter.com/NSFWRedditImage

Congratulations, faggots.

I don't agree with this, but I'm not surprised. I mean, he said he was going to do this from day 1. And if it works, it will accelerate economic grow and pay for itself.

I only voted for him because
The keks
He actually might know what he's doing
We might be getting both

>cuts taxes for his rich buddies
>rural and suburban retards still paying 40% tax
I don't think even Hillary would be this ruthless.

He's a Leninist. A national Leninist

Asked Monday if the president’s tax plan would be revenue-neutral, meaning it wouldn’t add to the debt, Mr. Mnuchin told reporters that it would “pay for itself with economic growth.” By that he meant that the administration expects to be able to project faster growth due to tax cuts, which would in turn increase revenue and avert the risk of bigger budget deficits. Many economists doubt whether economic growth can ramp up on a sustained basis without a big pickup in productivity and labor-force growth, and it is uncertain the tax-policy changes would do that.

“They will lose a boatload of revenue that we can’t afford to lose and far more than this team will offset by closing loopholes,” said Jared (((Bernstein))), who was an economic adviser to former Vice President Joe Biden. Cutting marginal tax rates for businesses could generate some economic growth, he said, but not nearly enough to pay for itself with increased revenue.

“These promises about all kinds of growth and investment that are going to be triggered by these tax cuts never appear, and the empirical historical record is clear on that,” Mr. (((Bernstein))) said.

>which means that without an offsetting source of revenue

Or maybe spending fewer dollars?

As someone who works in corporate tax (CPA), I find this absurd. Corporations pay very little federal income tax to begin with.

it's the kind of fucking brutal savageness that can only come from the host of The Apprentice

The idea is to get rid of leeches like you. Lower the rate and reduce the number of deductions.

on fucking what though, how do you just stop 2 trillion in funding

We're not leaches. And rates don't mean much at all. You still have to compute taxable income.

I don't give a shit about the federal deficit. Democrats don't either or they would've held Obama accountable for all his increases.

Basically I don't give a fuck. Deficits don't affect me. If you want me to suddenly hate trump I'll have to hear something I care about.

Also I'll have to hear it from a trustworthy news publication, not the Wall Street journal.

No shit. You lower the rate and reduce the number of deductions. It simplifies tax compliance.

I don't know where the two trillion dollar amount comes from, it would have to be two trillion over a decade or so.

They're supposed to pay zero. If you really want that money, get it from its legal property owners -- the shareholders.

You only tax the corporation so that low-income shareholders will subsidize high-income shareholders.

Then you bitch about the 1% having all the money like a clueless commie baboon.

>implying trickle down reaganomics works at all

>As someone who works in corporate tax (CPA), I find this absurd. Corporations pay very little federal income tax to begin with.

Doesn't the corporate tax also fall on smaller companies and large scale entrepreneurs?

Read a tax book. Your post is incoherent.

No. Small corporations are usually S-corps and are flow through entities.

Orbital ring space elevator cost less than the tax cut and would generate a lot more economic growth.

They'll never get it

>proposes plan to slash 100% of foreign "development" aid in dozens of countries
>not extra revenue.
Globalists are pissed because Trump is actually doing it. He is actually taking down their policies.
They'd rather keep giving billions to Africa, Pakistan etc every single year. Because the only hope for those nations is to survive off of western gibs.

It basically led to the Silicon Valley boom, however Bill Clinton promptly took credit for it because it happened under his Presidency. (but thats not how economics works, things take time to really take effect and Bill Clinton had nothing to do with Silicon valley)

>Basically I don't give a fuck. Deficits don't affect me.
This guy gets it.

Deficits and debt are memes. They don't actually affect you at all, ever.

Economists are such fucking liars. They all proudly squawked about Brexit and then Trump's victory crashing each country's respective market and triggering recession/depression. Nothing even remotely of the sort. Such disgusting liars

You're a retard. I couldn't expect less

The reason you should care is because it is more "muh free shit" but instead of main street reaping the benefits, it is wall street. A conservative is focused on balancing budgets and this only further opens the flood gates, doing nothing to benefit the American people, despite the populist ethos delivered by Trump that got him elected.

taxes are high because so can control how you deduct your way down to something reasonable, this process is expensive, long video but Trump explains it in 1991, youtube.com/watch?v=Rksd80-FCAw

Why does US care?

You can just print dollars fucking retards.
Oh no we are indebt

oh no magically dollars appear oh no we can buy things again

15% of 5 trillion is better than 30% of 1 trillion

t. Paul Krugman

>Brexit will crash the GBP

This literally means "don't you dare do it, or we'll pull the plug"

It always amuses me when uneducated turds think the "we're in debt!" statement actually holds even the slightest amount of water.

Our sovereign wealth is beyond reckoning. If you add up the value of just our oil, gas and coal in barrel of oil equivalent (BOE) it is easily in the 200 trillion dollar range and that is conservative based only on what is known to exist. That isn't even close to scratching the surface when it comes to other materials (precious, rare earths, fissionable, raw materials, land, sea, fresh water, aggregate, etc.). Start thinking of the total value now and it really is beyond calculation. So when you start wanting to try to spread some low grade bullshit just realize nobody who matters does anything but laugh at that or believes that our country is doomed to ruin and financial slavery. Our debt as a nation may appear big to the uneducated but in the scheme of things it is really almost insignificant. The nation really needs to wise up to this fact and start to figure out how we can use our resources wisely, yet take into consideration what is around us. Just the Thorium in the ground alone has enough energy potential to power our country for several thousand years. Long story short - nice try - get an education that isn't in the social sciences.

Drumpfkins will defend this because they billionaire jew cock

You are correct. Roughly, each percentage-point cut in the tax rate lowers federal revenue by $100 billion over a decade, so a 20-point cut would cost the government $2 trillion, according to the congressional Joint Committee on Taxation.

Tax rates are relatively meaningless, thanks to the 6 gorrilion deductions and credit written into your laws. The effective tax rate is the only thing that matters.

Who could have seen this comming?
Maybe those people you called shills all the time during the elections.

>economist are liars
oy vey this goy knows

The US will become the biggest tax haven in the world. Companies will be moving their headquarters here from all over the globe.

The whole idea of a corporate tax makes no sense anyways.
>cut corporate tax rate to 15%
>"muh evil CEO's" pay themselves more
>income taxed at like 40% anyways
Explain to me how this can be a bad thing.

You fucking wot m8? He's lowering the corporate rate. Not his friends tax rates you retard.

There's been zero tax code overhaul. The corporate tax rate is so fucking high in the united States.

There's going to be a overhaul to bring back some several trillion in over seas cash that will literally be qe *1000

But you keep on your bullshit. M8

In fairness Brexit hasn't actually happened yet, everything is pretty much the same so far.

I thought rural whites were all leeches getting welfare anyways.

They are mad because cut taxes = less money for government to lose / misuse / waste etc. That's all folks. Trump has been planning this for 30 years. tHE 1986 tax reforms destroyed his portfolio because of new regulations on real estate investment / associated tax breaks. He has it all under control.

Yep.

He thinks big government will drive GDP growth and came up with the infamous trillion dollar coin nonsense.

To those that want more government,shove 22 Trillion dollar coins up your ass.

they're not liars they're just stupid

you´re never gonna pay the debt arent you

theres no realistic plan, none for you to ever pay 2 trillion dollars yet even 500 000 million dollars

It'll never get developed because Greenpeace

Reminder this is Weimerica.

so 2 trillion dollars for corporations to invest into more profit and more taxes?

more people being paid and paying income and sales tax?

Oh look, another person using mainstream sources before actually waiting for the actual release of the tax plan.

They're not that but I'm sure many of them are brainwashed as students / lured in by the big paycheck as adults. A lot of people here would swallow their pride and push whatever the bosses wanted for 6 figure salaries too (which is normal) but economists who make it to the name ones only get there because the bosses see in them compliance to the overarching themes

>implying we can flood the market and see a good return.

Kek I...

FUCK OFF FAGGOT SHARE BLUE

How is this type of trousers called?

if he gets some bullshit writeoffs eliminated, too, then I don't mind

It isn't like big corporations pay significant taxes anyway, this is basically going to affect your local convenience store.

unemployment is at 4% in the usa, interest rates are rising, the economy is heating up.

This is the time you are supposed to be paying down some debt and going slow and steady. Not blowing up the deficit with a tax cut when the economy is already at full capacity

Except S-corps, like mine, get fucked. If the corporate tax rate is lowered to 15% I'll: switch to C-corp status, lower my personal salary/keep more money in the company, effectively cut income tax expense by 50%, hire more people and expand faster with my increased cash flows. You have to either be against economic growth or retarded to be against these tax changes.

Just Rape My Asshole© by Levi.

There is absolutely no reason to have a "corporate tax". You are already taxing the income from salaries at 40%, and short term capital gains at 20%(which should be moved up to like 30% or something).

Companies don't succeed by just stockpiling cash. They'll either invest that money in new business(creating jobs), pay it out as dividends(which is already taxed), or as salaries(also already taxed)

One single quarter of hardcore (the right way) book keeping into the welfare state would free up a gigantic chunk of money for the states as well. The amount of frauds and loafers taking advantage of those systems is huge. Once he puts people into place to review each and every single case there will be an even larger amount of funds for infrastructure. Hell, the fact that he has removed and ceased immigration from Mexico itself opens up trillions. These people truly are clueless into how the world works but I guess that is why they pose as "experts" on the fake media channels instead of working for actual firms.

BRAAAAAAAPPP

>laffer curve
nigga come on

i don't disagree with the change because fuck the government and its balance it should just stop spending and pay down the debt, but you're literally rediscovering widely discredited old ground

>not posting source

asd

Dude, Trump always said he wanted to cut corporate taxes dramatically. He said this from day 1. And lowering taxes is always part of the GOP platform no matter who is president.

Reagan I thought we took your computer away.

High-waisted, but she cut holes in the butt

>Thinks slashing the corporate rate is bad

Ending Obamacare alone will cause an immediate wave of hiring as businesses try to make up for the last six years. Even if they don't end up paying a cent of net taxes each person moved from welfare to work saves the government tens of thousands of dollars per year. It adds up in a hurry with tens of millions of people not in the labor force. Those $2 trillion in overseas money will get taxed at a low one time repatriation rate (say, 10%) - there's another $200 billion reclaimed. Illegal immigration costs over $50 billion a year if you include indirect costs. The wall pays for itself.

>And if it works, it will accelerate economic grow and pay for itself.

Given that resources are finite, where does that end? Do mainstream economic theories deal with that at all?

The difference is that there is no offsetting the value lost by cutting taxes. The Trump administration has sent mixed messages about including a border-adjustment feature that taxes imports and exempts exports, which is what House Republicans have proposed in their plan to cut corporate taxes to 20%. As it stands, if Trump doesn't offset the spending deficit caused by this tax, neither Democrats nor Republicans will vote this into law.

zerohedge.com/news/2017-04-24/trump-order-corporate-tax-rate-cut-15-load-2-trillion-extra-debt

B but bernie said the 1% and da corparations

Look, I don't agree with it. But I'm willing to be open-minded and give it a chance.

Yes of course, but that doesn't mean it would "load up 2 trillion in extra debt".
He will obviously increase other shit aswell, which is unknown at the moment because the tax plan hasn't been released yet.

It already had its chance. You can probably guess why we dont use it now.

This kills the Irish tax haven.
Potato niggers BTFO.
And pokes holes in the Dutch Dykes
So much for those faggots
Now let's gass some kikes!

Pretty much all economists agree it wont pay for itself.

Furthermore, you are right, there are limits on growth.

Unemployment is 4% (below its natural rate), inflation and interest rates are rising. Its clear by most indicators that the US economy is close to full capacity. When this is the case a big tax cut does not do much for growth because most resources (capital, labor) are already at maximum use.

its just going to blow up the deficit the same way the bush tax cuts did with little to show for it economically

but it's not discredited. taxes rose with 1920s tax rate cuts, reagan cuts and bush jr cuts

>have high corporate tax rates
>no one pays them because corporate tax law is full of write offs, loopholes, etc.. effectively making it lowest in the world
>change tax law so it caps at 15%, but keep loopholes
>taxes drop to 0%
>create huge budget deficit
>start a war
>blame liberals later

The ENTIRE field of economics is devoted to studying how to make the best possible use of finite resources. All economic theories are based on the (correct) assumption that resources are finite.

No, you should just reproduce infinitely and consume infinitely.

What's the worst that could happen? What matters is that the numbers increase.

>the only way to make money is to pressure your existing businesses for money
you need to understand that when taxes on corporations are lowered profit margins shift and things that were unprofitable or so slightly profitable they aren't worth investing in, thus creating new business opportunities and a reason for rich people to spend some of their vast fortunes.

You are stupid and you have no idea what you're talking about. Welfare is very small percentage of our budget. Why not ask why we invested trillions in a new plane when we have the most formidable air force in the world already. I don't like supporting shitty people either but your frustration is misguided.

>lowering taxes is bad

Faggots

Everyone tries to leave the country because it too high and we are still fucked, at least with it that low some will stay and come back.

For fucks sake we are the worst in the work on this shit. Commie countries are better

Of the companies that hide money in Ireland and the Netherlands instead pay that 15% to the USofA then we come out ahead.

Especially given those companies are the likes of Apple, google, GE, etc.

>economics
you mean keynesian socialists
natural rate is a meaningless meme that implies a ceasing of time, and the point of the tax cut is to create capital.
my god canadians are fucking cucks

>Why not ask why we invested trillions in a new plane when we have the most formidable air force in the world already.

Because believe it or not, other countries are also developing new aircraft and we want to stay ahead. Staying ahead means investing money in staying ahead.

It is all coming down anyways. Do you really think we can pay back $20 trillion before the Russians and Chicoms crash the currency?

This is excellent foresight. And who will have severe austerity measures placed upon them? Paying for corporate welfare and a bloated and ever expanding military? Will it be from my paycheck?

We're never going to pay the debt lmao. We may as well be the ones to gain from it, rather than the Democrats.

The retarded faggots called "conservatives" allowed Obama and Bush to add over 16 trillion USD in debt and we're supposed to be concerned about another 2 trillion? FFS I hate this government.

Actually if you believe tax cuts create economic growth you are a keynesian.

As people have said in this thead, they believe the tax cut will create growth because the extra savings businesses realize will be used to build new machines, hire people, etc. and in turn these new employees have more money, buy more goods, etc. These are referred to as Multiplier Effects, which is a phenomenon only keynesian economists believe

Maybe the idea is to overheat the system by taking as much debt as possible, to show that it doesn't work.

>Keynesian
>Socialist

I'm guessing you don't know what either of those words actually mean.

More debt now will ultimately result in higher taxes and less social services down the road.

Here you go faggots:

>Many major companies employ overseas options to avoid paying the United States corporate tax, which, at 39% is among the highest in the world. According to Audit Analytics, a research firm, U.S. corporations held $2.1 trillion in foreign profits in 2013. As such, corporate tax reform is a hot ticket on both sides of the ballot this election cycle.

forbes.com/sites/abigailtracy/2016/02/19/google-moved-billions-of-dollars-to-bermuda-to-avoid-taxes-again/amp/

That's what he's trying to accomplish. Get 15% instead of the 0% we are currently getting.

>if we don't collect taxes the money disappear!
Jesus this isn't even armchair economy, thats just plain stupidity

And after all the "experts" are red in the face screaming how hard this will crash the economy, it will save it and they'll scream they were right the entire time.

I hate Bernie with a passion. I take home a salary of 50k because I require cash flows to pay for COGS, but because I'm an S-corp my small business's net income is taxed at 35%+ level (like personal income). I chose this because it's currently LESS than what a C-corp would pay. If C-corp taxes are reduced to 15%, I would not only cut current income expenses, but I would gladly take a minimum salary to increase cash flows/hire more people/grow my business. Bernie's "plan" actively hurts me AND the people I'd be paying.