Taxes: The tax-reform zombie walks again. Or so it appears. Just when you thought it was killed off by President Trump’s verbal gaffes, the never-ending Russia investigation, the failure of ObamaCare repeal, antifa and neo-Nazis, and by the GOP’s own ineptitude, as they say in the horror-movie biz: It’s ALIVE!
And, yes, that’s a good thing. Americans had been left to believe that both tax cuts and deeper tax reform were both dead, thanks to the growing political strife over our nation’s monuments and bitter divisions in Congress and that’s just among the Republicans.
But the folks at Politico recently noted that the discussions between the White House and Congress on finding ways to lower both individual and corporate tax rates without adding to deficits had reached a “broad consensus.”
The participants “have made significant strides in shaping a tax overhaul, moving far beyond the six-paragraph framework pushed out in July that stoked fears about their ability to deliver on one of the GOP’s top priorities.”
This is a big reason why the stock market has turned and rallied this week. And it tells you all you need to know about our tax code: It’s hopelessly complex, costly and confusing. Its inbuilt inefficiencies cost the U.S. economy, conservatively, hundreds of billions of dollars a year.
Republicans are energized about tax reform because, unlike ObamaCare repeal, they see fundamental change in the tax code as achievable by the end of the year. This will be significant, since next year is an election year, and GOP representatives and senators don’t want to go back to their districts and say “we got zip,” despite controlling both branches of Congress and the White House.
But beyond that, they understand as most Democrats apparently don’t that fundamental tax reform, even if it were modest in scope, would be a huge winner for the economy. By raising the returns on work and investment, which is what tax cuts would do, the U.S. economy could grow faster.
“What we are proposing on the individual side is get rid of the loopholes, get rid of the carve-outs, just lower people’s tax rates,” said House Speaker Paul Ryan, speaking Monday evening. Ryan, National Economic Council Director Gary Cohn, Treasury Secretary Steven Mnuchin, Senate Majority Leader Mitch McConnell, Senate Finance Chair Orrin Hatch and House Ways & Means Committee Chair Kevin Brady form the so-called “Big 6” of Washington power brokers who have been quietly meeting on tax reform.
And they’re making progress. But they should heed past experience, which shows it’s better to make whatever reforms you pass permanent, rather than subjecting taxpayers to doubts that tax changes could be undone easily in future years by a mere up-or-down vote in Congress.
Making the changes permanent and excluding gimmicks including “retroactive” tax cuts, which do nothing but add to our nation’s indebtedness is key to long-term success. And rather than focusing solely on “paying for” tax cuts by removing other tax breaks, they should also look at spending, which is the real problem with our government.
As for those who think tax reform or tax cuts are just political pandering, they should look at history.
As a Tax Foundation review of seven major tax-reform efforts over the past 60 years shows, tax “reforms” that raise marginal tax rates on businesses and individuals or on capital tend to hurt long-term economic growth. Those that lower taxes on businesses, capital and personal incomes, while making them simpler, lead to faster economic growth.
But overall, tax reform is a winner, yielding on average 2.6% higher GDP over 10 years than without it. The U.S., with its subpar 2% growth right now, can’t afford to pass up this chance to reboot the economy and return to a 3% or so growth rate.
If that 2.6% growth estimate doesn’t impress, consider this: Based on Congressional Budget Office estimates, U.S. GDP will totalroughly $236.856 trillion over the next 10 years. So a mere 2.6% addition to growth would add about $5.4 trillion more in economic output over that time. Yes, it’s a big difference.
The point is, tax reform is a big winner. It will create stronger businesses, more jobs, higher incomes and a better standard of living for all. The Republican-led Congress in June whiffed on ObamaCare repeal and replace. After that, we feared that tax reform, too, was dead.
Turns out that tax reform, once though defunct, has a zombielike second life. But it’s a good zombie. If the GOP wants to remain in control after 2018, it had better pay attention to the zombie: Pass a fundamental tax reform, the sooner the better, and show you can keep a promise.
If Congress Is Serious About Getting Rid Of IRS, It Must Pass Big-Bang Tax Reform
Never Mind The Gimmicks, We Need Real Tax Reform
With Trump, Millennials Will Finally Get A Tax Cut
Read the original here:
Like A Movie Zombie, Tax Reform Refuses To Die – Investor’s Business Daily
- Zombie Trailer Park | Addicting Games - March 8th, 2019
- Zombie Cocktail Recipe - Liquor.com - February 26th, 2019
- Zombie deer disease: Why deer with CWD are nothing like ... - February 19th, 2019
- Nazi Horror Zombie Movie Review - Zombie Picture - February 16th, 2019
- Zombie Fest Northwest Normandy Park Washington ... - February 16th, 2019
- Zombie | Wookieepedia | FANDOM powered by Wikia - December 12th, 2018
- Zombie | fictional creature | Britannica.com - December 12th, 2018
- Zombie - Monster Girl Encyclopedia Wiki - December 12th, 2018
- Zombie royale.io - Play Zombieroyale io battle, unblocked - December 12th, 2018
- Zombie - Simple English Wikipedia, the free encyclopedia - December 11th, 2018
- Zombie | RuneScape Wiki | FANDOM powered by Wikia - December 11th, 2018
- Zombies - Investopedia - December 11th, 2018
- Zombi 2 (1980) - Rotten Tomatoes - December 11th, 2018
- The Ultimate Zombie Apocalypse Survival Quiz - December 11th, 2018
- Zombie | Plants vs. Zombies Wiki | FANDOM powered by Wikia - December 9th, 2018
- Amazon.com: Zombie: Tisa Farrow, Ian McCulloch, Al Cliver ... - August 9th, 2018
- Zombie Games - Free Online Zombie Games - July 18th, 2018
- Zombie Official Minecraft Wiki - July 3rd, 2018
- Zombie Chase Parkour POV - YouTube - June 21st, 2018
- Sightings of 'zombie' dogs prompt warnings in Chicago - The San Diego Union-Tribune - September 7th, 2017
- YWCA prepares for 2nd annual zombie run - KFYR-TV - September 7th, 2017
- Langhorne Slim Releases "Zombie" off Forthcoming New Album Lost at Last Vol. 1 - Paste Magazine - September 7th, 2017
- 'Zombie' coyotes reportedly seen in suburbs, and residents warned to keep away - Chicago Tribune - September 6th, 2017
- ARZombi Is A Zombie Shooter Made Using ARKit - UploadVR - September 6th, 2017
- Should You Forgive Your Zombie Relative? Ellen Page In 'The Cured' Watch TIFF Clip - Deadline - September 6th, 2017
- 'Zombie dogs' are roaming the suburbs of Chicago - The Week Magazine - September 6th, 2017
- Zombie Walk to benefit local charity - Bowling Green Daily News - September 6th, 2017
- Zombie Run will benefit Muskogee Animal Shelter - Muskogee Daily Phoenix - September 6th, 2017
- New 'The Walking Dead' AR app tests your zombie battle plan - CNET - CNET - September 6th, 2017
- Watch an extreme scene from TIFF zombie film Les Affams - EW.com - September 6th, 2017
- 9th Circuit Revives Class Action Over 'Zombie' Smartphone Cookies - Courthouse News Service - September 6th, 2017
- SecureView: Assemblyman James Skoufis Hosts Demonstration to Clean Up Zombie Property Blight - Markets Insider - September 6th, 2017
- Chicago's Newest Problem Is An Invasion Of ZOMBIE DOGS - The Daily Caller - September 5th, 2017
- Daily Deal: Zombie Army Trilogy Is 80% Off On Steam - Gameranx (blog) - September 5th, 2017
- 'Zombie' dogs are actually infected coyotes, police warn - Atlanta Journal Constitution - September 5th, 2017
- Your daily 6: A third child for William and Kate; zombie dogs in Chicago - STLtoday.com - September 5th, 2017
- 'Zombie dogs' roaming near Chicago are infected coyotes, police ... - Fox News - September 3rd, 2017
- Railey: Confronting 'zombie mindsets' and a Charlottesville martyr - Winston-Salem Journal - September 3rd, 2017
- Trump Pardons Zombie Apocalypse - Indian Country Today Media Network - September 3rd, 2017
- Police warn of infected 'zombie' coyotes confused for stray dogs - KCRA Sacramento - September 2nd, 2017
- Survive An Augmented Zombie Reality In Walking Dead: Our World - Shacknews - September 2nd, 2017
- The Bentley You Need For The Zombie Apocalypse Is Finally For Sale - Jalopnik - September 1st, 2017
- Cops warn residents to avoid mange-infected coyotes labeled 'zombie dogs' - New York Daily News - September 1st, 2017
- Cops Warn of Infected 'Zombie' Coyotes Confused for Stray Dogs in ... - NBC Chicago - September 1st, 2017
- 'Zombie' drug Spice addict grabbed terrified girl, 5, outside Primark and gave her a 'bear hug' - Mirror.co.uk - September 1st, 2017
- Rome on cutting edge for dealing with zombie properties - Utica Observer Dispatch - August 31st, 2017
- The Mask Hides My Ugliness: Violence and Trauma in Rob Zombie's 'Halloween' - The Film Stage (blog) - August 31st, 2017
- The Syllabus: Zombie Charlotte Law (updated) - Greensboro News & Record (blog) - August 31st, 2017
- The Night King and Zombie Viserion are comingin Funko Pop! form - Winter Is Coming - August 31st, 2017
- Death of Spain's Zombie Lenders Sends Bank Jobs to Decade Low - Bloomberg - August 31st, 2017
- Rob Zombie's Halloween 10th anniversary: How Tyler Mane ... - EW.com - August 30th, 2017
- Call of Duty Black Ops III and Zombie Chronicles Officially Bundled Together - Twinfinite - August 30th, 2017
- Here a few of Lil Uzi Vert's favorite things: Rob Zombie, Rugrats and more - Alternative Press - August 30th, 2017
- Zombie shooter Dead Alliance now available - Flickering Myth (blog) - August 30th, 2017
- Brooklyn Decker Compares Herself to 'Zombie Taylor Swift' in 'Look What You Made Me Do' Music Video - Us Weekly - August 29th, 2017
- Call of Duty: WWII's Zombies Is Changing its Tone and That's Exactly What it Needs - Twinfinite - August 29th, 2017
- Rob Zombie on Tobe Hooper: 'The Texas Chain Saw Massacre' Changed My Life - RollingStone.com - August 28th, 2017
- 'Zombie' translation book authored by Ashland professor - Richland Source - August 28th, 2017
- City set to file first court action against 'zombie property' - Rome Sentinel - August 28th, 2017
- Zombies, romance and revenge drive record 'Game of Thrones' ratings - Reuters - August 28th, 2017
- Video: President Trump's zombie claim of widespread voter fraud in the 2016 election - Washington Post - August 28th, 2017
- Hudson Confidential: 'Zombie' utility poles outlawed in Cornwall-on-Hudson - Times Herald-Record - August 28th, 2017
- Falls steps up its fight against 'zombie homes' - Niagara Gazette - August 28th, 2017
- City seeks help in identifying 'zombie properties' - The Recorder (subscription) - August 28th, 2017
- Zombie homes shame campaign spreads to Niagara Falls - Spectrum News - August 26th, 2017
- Zombie run scheduled at Castle of Muskogee - Tulsa World - August 26th, 2017
- 19 Years Ago: Rob Zombie Debuts His Solo Album "Hellbilly Deluxe" - WAAF.com (blog) - August 25th, 2017
- What can the Zombie Apocalypse teach us about ourselves? [Video] - OUPblog (blog) - August 25th, 2017
- Buy Your Tickets Now For 'Z is for...Zombie!' - Patch.com - August 25th, 2017
- West Milford plans law to slay 'zombie' homes - NorthJersey.com - August 24th, 2017
- 'Game of Thrones': Why the White Walkers and Wights Represent the Best and Worst Zombie Tropes - IndieWire - August 24th, 2017
- Starbucks' new sushi burrito sounds like how zombie outbreaks start ... - GolfDigest.com - August 24th, 2017
- Heavy weekend rains likely when zombie storm Harvey comes to Texas - MyStatesman.com - August 24th, 2017
- Louisville Zombie Walk Attack Funeral! - Louisville Eccentric Observer - August 24th, 2017
- 'State of Decay 2' forces you to pick who becomes zombie food - Engadget - August 22nd, 2017
- The Zombie Polar Bear on Game of Thrones Was Just a Dude in a Green Suit - Esquire.com - August 22nd, 2017
- Zombie Hitler reanimates in Dead Snow 3 - SYFY WIRE (blog) - August 22nd, 2017
- That Zombie Polar Bear on 'Game of Thrones' Was Four Seasons in the Making - Thrillist - August 22nd, 2017
- HESCO Sponsor Zombie Invitational Shooting Competition (Multi-Video) - 220.127.116.11 (press release) (registration) (blog) - August 22nd, 2017
- Dead Snow 3 will feature 'Zombie-Hitler,' says director - EW.com - August 22nd, 2017
Reviewed and Recommended by Erik Baquero