Active Users:1156 Time:22/11/2024 07:48:28 PM
I was talking about the corporate tax reduction part. - Edit 1

Before modification by Legolas at 11/02/2019 08:39:16 PM

Which after all was by far the largest part of the total package - according to the first link I came across, 63 percent of the total tax saving went to companies, and only 31 percent to individuals. I think it's fair to say that the Republicans used the tax cuts for individuals partially as a smoke screen to make it politically palatable to drastically reduce corporate tax rates at the same time. If they had wanted to, they could perfectly have done tax cuts on income tax only while leaving corporate rates untouched.

Anyway, even if you look at the individual tax cuts, most of the individuals' share of the saving still went to the wealthiest people, since obviously they are the ones paying the largest amounts. That's only logical really, but there too, the wealthy people won't necessarily increase spending and stimulate the economy when they get to pay less taxes. So in terms of the total hit that the Treasury takes in lost tax income, it's quite a small share that goes to people for whom it really makes a significant difference (adding up the increased job opportunities, higher wages in existing jobs and lower income ta.


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