The biggest tax overhaul in more than three decades will get America’s middle class a 23% tax cut, while some of the richest people in the US will have to pay more than before. Under the GOP tax plan, the middle class will get $61 billion in tax cuts in 2019 (middle income households that is), according Congress’s Joint Committee on Taxation’s analysis released on Monday.
Breaking the numbers down, that means 23% of the tax cuts will go directly to individual taxpayers (middle class taxpayers that is). However, starting with 2027, the same taxpayers will see a net tax increase, due to the fact the respective tax cuts are going to expire under the proposed bill, provided nothing changes (now and then).
The upper middle class households, i.e. those earning half a million dollars or more a year, which make for one percent of filers, will also benefit from a 61 billion tax cut in 2019. According to the JCT analysis, much of the rest would go to big-businesses via corporate tax cuts.
There are two essential reasons this tax bill is unpopular: the first is that hardly anyone has read it, so they don’t trust what they haven’t read. The second is that the only information they get is from our liberal (as in left wing) mainstream media, which consistently misrepresents what is in the bill, mainly that it is a gift to the rich, which is categorically untrue. Read it, and you will find benefits for everyone at all income levels. Better yet, stand back and watch its impact on our economy and the stock market which is booming, because Wall Street knows how much all of us will benefit from this bill.