Tag: trump tax cut
A Republican Congress? It Will Be Showtime -- And Not Much Else

A Republican Congress? It Will Be Showtime -- And Not Much Else

As Election Day approaches, I often find myself thinking of H.L. Mencken. Particularly during off-year contests. “The Sage of Baltimore,” as he was known, expressed lifelong disdain for politicians, and his mordant wit made him very funny about it. “Democracy,” he wrote, “is the theory that the common people know what they want, and deserve to get it good and hard.”

Mencken’s heyday was the 1920s, in the shadow of the Great War. Unlike most contemporary pundits, he felt no need to express false pieties or flatter his audience. “No one ever went broke underestimating the intelligence of the American people” he argued.

Decades before the birth of Donald Trump, he anticipated the great man’s arrival on the American scene:

“As democracy is perfected, the office [of president] represents, more and more closely, the inner soul of the people….On some great and glorious day the plain folks of the land will reach their heart’s desire at last, and the White House will be adorned by a downright moron.”

And an ignorant blowhard at that. If that opinion makes you feel personally affronted, well tough. Send me an insulting e-mail if it makes you feel better. But there won’t be much point arguing about it until 2024—assuming we’re both still here and that Trump himself hasn’t dropped dead or gone to prison.

Because the real deal on the mid-term elections is that they just don’t matter a whole lot in terms of serious changes in the body politic. The U.S. Constitution is pretty much set up to prevent it.

A recent, typically solemn New York Times headline: “Democrats, on Defense in Blue States, Brace for a Red Wave in the House.”

“Reality is setting in,” reads the subhead.

Meanwhile, what’s a near-certainty is that neither party, in either the House or the Senate, will win anything close to a veto-proof majority. So that even if Republicans do take over the House of Representatives—as the opposition party normally does during midterm contests—all they’re really going to do over the next couple of years is put on a show. A Fox News-themed extravaganza.

They’ll shut down the January 6 House Select Committee in favor of investigating Hunter Biden, the president’s troubled surviving son. You’ll learn more about Hunter than you ever wanted to know. There are even said to be titillating videos, although their provenance is unclear. The younger Biden’s purloined laptop was out of his hands for more than a year, making suspect any revelations it holds.

What relevance this has to the actual governance of these United States—unlike the Trump offspring, Hunter Biden holds no public office and has never been taken to meet the Queen—will likely also remain unclear.

Theatrical indignation, however, is almost certain. Look for putative Speaker of the House Kevin McCarthy to do the job President Trump tried to strong-arm Ukrainian President Zelensky into performing. He won’t be able to help himself. They could even end up turning Hunter into a sympathetic figure.

Did I say “Speaker McCarthy?” There’s even loose talk among GOP stalwarts of electing former President Trump as Speaker of the House. There’s no constitutional requirement that the Speaker be a voting member, nor free of criminal indictment, for that matter. So, it’s theoretically possible, and if the Big Man wanted it, I can’t imagine GOP congressional invertebrates denying him.

Yowza! Talk about getting value for your entertainment dollar What a spectacle that would be.

Back in what passes for the real world, Rep. Elise Stefanik (R-NY), currently the third-ranking Republican in the House, has expressed enthusiasm for the idea of impeaching President Biden for crimes as yet defined. QAnon-friendly Rep. Marjorie Taylor Greene (R-GA), of “Jewish space lasers” fame, has reportedly filed five congressional resolutions to that effect.

On his part, Kevin McCarthy has said he doesn’t believe the public would tolerate a presidential impeachment.

As there’s zero chance of getting 67 Senators to convict, impeaching Biden would seem an obvious non-starter.

But that implies a degree of political realism that may or may not be found in a Republican Congress. Even so, far more likely are what Doyle McManus of the Los Angeles Times calls “government shutdowns and debt-ceiling hostage dramas.” Several GOP congressmen have made it clear to reporters that they will demand deep cuts in domestic spending, which they say are needed to shrink the federal budget deficit and stifle inflation.

Never mind that the Biden White House recently announced that the budget deficit this year dropped by $1.4 trillion—the largest annual decline ever. Last year it fell by $350 billion. Under Trump, of course, the budget shortfall increased by $400 billion annually, due to his corporate and millionaires tax cuts—pretty much his only legislative accomplishment.

But GOP voters either don’t know that or refuse to believe it, so it looks like we’re in for another fiscal high-wire act.

Budget Bill Revives Biden Vow To Tax Wealthy And Corporations

Budget Bill Revives Biden Vow To Tax Wealthy And Corporations

By Steve Holland

WASHINGTON (Reuters) -- President Joe Biden's campaign promise to increase taxes on corporations and the wealthy as part of a battle against glaring income inequality in the United States got an unexpected boost on Wednesday.

Early proposals to increase tax rates from Biden and his fellow Democrats hit a brick wall in Congress after Republicans -- and some Democrats -- opposed them. But a sudden reversal by West Virginia Democratic Senator Joe Manchin, a swing vote in the divided Senate, has given Biden's tax agenda a new lease on life.

The amount U.S. companies contribute to tax revenue that funds roads and schools has plummeted since the 1940s.

Biden has often said in office that companies should instead pay a "fair share," a contrast to deference to private markets begun by Republicans with former President Ronald Reagan's election in 1980, and buoyed by rounds of tax cuts and deregulation, by both parties.

The new compromise bill includes $430 billion in new spending on energy, electric vehicle tax credits and health insurance investments. It more than pays for itself by raising minimum taxes for big companies and enforcing existing tax laws, Manchin and Senate Majority Leader Chuck Schumer said in a statement.

Biden said during a speech on Thursday that the deal would "for the first time in a long time begin to restore fairness to the tax code - begin to restore fairness by making the largest corporations in America pay their fair share without any new taxes on people making under $400,000 a year."

The bill would impose a 15 percent minimum tax on corporations with profits over $1 billion, raising $313 billion over a decade, they wrote. Companies could claim net operating losses and tax credits against the 15 percent.

The U.S. corporate tax rate dropped to 21 percent from 35 percent after a 2017 tax cut pushed by then-President Donald Trump and his fellow Republicans, but many companies pay much less than that, and some of the largest pay no federal taxes, research groups including the Institute on Taxation and Economic Policy have found.

Biden proposed raising that rate to 28 percent last year as part of an infrastructure spending bill, but the tax component was struck from the bill.

The new Manchin-Schumer bill also aims to close the so-called carried interest loophole, long a goal of Democrats.

Carried interest refers to a longstanding Wall Street tax break that let many private equity and hedge fund financiers pay the lower capital gains tax rate on much of their income, instead of the higher income tax rate paid by wage earners.

Eliminating the loophole would raise $14 billion, the senators say.

Schumer said he expected the Senate to vote on the legislation next week, to "lower prescription drug prices, tackle the climate crisis with urgency and vigor, ensure the wealthiest corporations and individuals pay their fair share in taxes, and reduce the deficit."

The Manchin-Schumer measure is substantially smaller than the multi-trillion-dollar spending bill Democrats had envisioned last year.

But it still represents a major advance for Biden's policy agenda ahead of midterm elections on Nov. 8 that could determine whether Democrats retain control of Congress.

It came just as Biden celebrated Senate passage of a bill aimed at boosting the U.S. semiconductor industry, another key priority of his administration, and as he struggles with low job approval ratings and ebbing support from his own party after a series of conservative Supreme Court rulings.

"This bill will reduce the deficit beyond the record-setting $1.7 trillion in deficit reduction we have already achieved this year, which will help fight inflation as well," Biden said in a statement.

"And we will pay for all of this by requiring big corporations to pay their fair share of taxes, with no tax increases at all for families making under $400,000 a year," he said.

(Reporting By Steve Holland; editing by Heather Timmons and Mark Porter)

Watch Biden Brilliantly Mocks Trump At Pro-Union Speaking Event (VIDEO)

Watch Biden Brilliantly Mocks Trump At Pro-Union Speaking Event (VIDEO)

President Biden, largely considered the most pro-union U.S. president in decades, took aim at Amazon and former "defeated" President Trump in a speech to the North America's Building Trades Unions (NABTU) Legislative Conference. Biden commended the New York workers at an Amazon.com Inc (AMZN.O) warehouse in Staten Island for having voted to form a union by saying: “And by the way, by the way, Amazon here we come. Watch. Watch.” And yet the media will somehow spin it to make Joe Biden seem like he doesn't care about workers while Republicans do anything and everything to ensure they will raise their taxes if they take back power this November.

However, the most memorable moment in President Biden's speech to the pro-union org was when he mockingly called out trump for the $2 trillion tax cut that did very little for working Americans in the long run .

"The two trillion dollar tax cut the last guy...what was his name...anyway, the last guy; I forgot, he never showed up at the inauguration," quipped the president.


@scottdworkin President Biden just slammed Trump hard—amazing. 😎🥳😂 #biden #joebiden #potus #presidentbiden ♬ original sound - Scott Dworkin

Michael Hayne is a comedian, writer, voice artist, podcaster, and impressionist. Follow his work on Facebook and TikTok

Mnuchin Again Insists 2017 Tax Cuts Will ‘Pay For Themselves’

Mnuchin Again Insists 2017 Tax Cuts Will ‘Pay For Themselves’

Trump administration officials continue to make wildly inaccurate statements about the economic impact of the Republican 2017 tax law. On Wednesday, contrary to all available evidence, Treasury Secretary Steve Mnuchin told the Senate Finance Committee that he stands by previous administration claims that the tax cuts “will pay for themselves.”

“This will be simple math,” Mnuchin testified under oath. “We measure this over 10 years. We got eight years left. I look forward to writing the committee a letter in eight years going through all the exact numbers.”

Mnuchin’s claim, flagged by American Bridge, a progressive opposition research organization, is widely disputed by experts, even experts who tout the benefits of the 2017 law.

“Secretary Mnuchin’s statement is clearly false,” Josh Bivens, research director at the Economic Policy Ienstitute, said in an email. “No reputable economist thinks that the 2017 tax cuts will pay for themselves. Mnuchin is either somehow ignorant of mountains of evidence on this front, or he’s being intentionally misleading. Neither inspires confidence in a Treasury Secretary.”

The Tax Foundation generally supports a rosier view of large tax cuts like those contained in the 2017 law. And even their experts dispute Mnuchin.

“The 2017 tax law will not pay for itself,” Erica York, an economist with the Tax Foundation, said in an email. Her organization predicted the new law would spur economic growth, but even revenue generated from the new growth is not enough to offset the cost of the law. In total, the group anticipates the law will result in a deficit increase of $762 billion to the deficit, after factoring loss of tax revenues and anticipated growth from the cuts.

The GOP tax law passed Congress and was signed into law by Donald Trump in December 2017. It dramatically reduced tax rates for wealthy corporations, and more than 80% of the benefits for individual Americans were targeted at the richest 1 percent.

Mnuchin and other Republicans claimed the law would pay for itself when it first passed, too, even though independent analyses pointed out that it could add up to $1.7 trillion to the deficit.

“Mnuchin’s claims that Republican tax cuts for the wealthy will pay for themselves are dishonest nonsense, and he knows it,” Rep. Don Beyer (D-VA), vice chair of the congressional Joint Economic Committee, said in an email. “No one should believe him, but if anyone is in doubt the nonpartisan Congressional Budget Office now forecasts trillion-dollar deficits for the coming decade.”

Beyer said that what started as a political promise by Trump “has become economic gaslighting.”

Published with permission of The American Independent Foundation.