Tag Archives: tax reform

David Davenport: Previewing Trump’s First State of the Union Speech

Compromise

A president’s first state of the union message is an important occasion. But in our era of political theater, there is some danger that this year the sideshow will overshadow the main attraction.

Several Democratic members of Congress say they will boycott the event.  One Congresswoman is encouraging females who do attend to dress in black.

Despite the political challenges, “it’s the economy, stupid.”  If Trump makes this primarily an economic address, he can succeed.  Think about it:  unemployment is down, jobs are up and the stock market is on fire. His big piece of legislation, the tax bill, is projected to lead to even more economic growth. The president has problems elsewhere, but so far so good on the economy and that should be his message.

The Constitution does not actually require this kind of televised state of the union address, though tradition does.  It’s always possible that a nontraditional president like Trump might surprise us and do something completely different.

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Lanhee Chen: After Tax Reform: Return to Health Care

Tax Reform

Tax reform legislation signed into law by President Trump in December, which will lower taxes for most Americans this year, unfortunately did nothing to stop billions of dollars in new taxes under Obamacare from hitting millions of Americans in the wallet.

One example is the Obamacare health insurance tax, which is being paid for directly by consumers, in the form of higher premiums. So millions of us will take a direct hit, even though most people who will be paying for the tax increase don’t even realize it.

Over the next 10 years, individual market beneficiaries will pay over $2,000 more in premiums; families getting their coverage through small employers will pay over $6,000 more; and Medicare Advantage members will pay over $3,000 more.

Although Republicans did not create ObamaCare, they are in a golden position to end this tax and help bring down premiums. A failure to do so may hurt congressional Republicans when they come before the voters in this November’s midterm elections.

And that’s a risk they shouldn’t take.

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Trump’s First Year

Opioids Tariffs

Townhall Review – December 30, 2017

Hugh Hewitt invites Deputy National Security Director Nadia Schadlow, one of the principle architects of the recently released National Security Strategy document, to share some of the details surrounding this very important document. Dennis Prager identifies the opponents of the tax reform that was signed into law by President Trump. Hugh Hewitt turns to Senator Pat Toomey, who serves on the Senate Finance Committee, to share how this tax legislation will affect Americans.  Guy Benson shares with Mike Gallagher President Trump’s list of first-year accomplishments, including the “unheralded decimation of ISIS.” Dennis Prager shares from Ross Douthat’s New York Times article that exposes the media’s shameful lack of coverage of this victory over ISIS. Michael Medved unfurrels more of the Russian conspiracy and collusion, this time involving Green Party Presidential Candidate Dr. Jill SteinHillsdale President Larry Arnn shares with Hugh Hewitt the history behind “Darkest Hour,” a film about Sir Winston Churchill’s leadership and victory against Nazi Germany. Wrapping up the show, Michael Farris, CEO of Alliance Defending Freedom, sits in with Hugh Hewitt to talk about the Masterpiece Cake Shop case, one of the key religious liberty cases in our generation.

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Jerry Bowyer: A Necessary Fix On Tax Reform

Shooting Florida

The Senate version of tax reform has a hidden problem which needs to be addressed. It would greatly increase the tax burden on companies which are in debt. When a company expands operations, by say, building a factory, they usually borrow money to do it.

The tax code has always allowed business to take the cost of that borrowing into account when they calculate their profit for the sensible reason that it is a cost of doing business. Tax reform is cutting that back, and the Senate version is cutting it back severely, especially for companies that own a lot of heavy equipment such as miners and manufacturers, exactly the type of companies that we’re trying to revive as part of the Trump growth agenda.

If we get this wrong, during the next downturn, we may well see an epidemic of high growth and heavy equipment companies driven into bankruptcy by their inability to pay their old debt and their new taxes on it at the same time.

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Jerry Bowyer: ‘ Trump Trade ’ Will Be Over Without Tax Cuts

Shooting Florida

The stock market had a great run after the election of Donald J. Trump as president. This put egg on the face of many elite commentators who predicted that a Trump victory would be disastrous for the economy.

Indicators of economic optimism also improved, and some business activity indicators improved in response. But lately plans for tax reform have been splintering into competing versions.

Some GOP leaders seem willing to cave on key issues such as whether to cut rates for the highest bracket and whether to delay corporate tax reductions. In response markets have leveled off, and there are some signs that growth is sagging too.

It is imperative that tax cuts be passed now and implemented immediately. Republicans will get no credit from the electorate for bi-partisanship if they sail into the next election with a weak economy on the horizon. It doesn’t need to be fancy. But it needs to be soon.

We’re past the time for rhetoric: we need successful votes and tangible policy shifts, otherwise the famed ‘Trump Trade’ may well be over.

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Jerry Bowyer: On Tax Reform: Businesses Take “Wait and See” Approach

Jordan Peterson

Republican leaders are now out with their proposal for tax reform.

The good news is the plan is pro-growth. It really could get us out of the lurch, giving corporations a mechanism to bring almost 3 trillion dollars home from abroad, and to reinvest that money right here … in America.

The bad news—or the concerning news—is we’re running out of time.

The plan allows businesses to fully expense many equipment purchases. But until the tax passes, business are going to take a “wait and see” approach.

Why buy equipment now if you can wait till tax reform passes?—when you can then buy and deduct the expense right away?

If the tax reform takes too long to pass, the economy will slow, and the GOP could enter a mid-term election in the midst of a slow-down or even a recession—and they’ll pay a price.

No, this tax plan is not perfect, but it’s a vast improvement over what we have now.

Republicans and moderate Democrats ought to move quickly to pass it.

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Jerry Bowyer: Tax Reform and a Chance to Make up for Lost Decade

Jordan Peterson

Last week, Republican leaders announced their tax reform plans.

The good news is that they’re pro-growth: US corporate tax rates are today the highest in the developed world, and our current system perversely punishes American companies for bringing profits back from their foreign sales. The GOP plan fixes that problem. It also cuts taxes for what has been labeled “flow through” businesses —small and family-owned businesses often use that form. My own family business uses it. The reason it’s important to cut taxes these types of small businesses is because American jobs are almost all created the same way: by small businesses becoming big businesses.

It’s been a pretty bad decade for the U.S. economy: a terrible recession followed by barely a whiff of a recovery.

That lost decade has cost us standing abroad and frayed the social fabric at home. We can end that by embracing the growth model of JFK, Reagan and Gingrich/Clinton.

Americans can’t afford another lost decade.

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