Type to search

We The People Store: Get your conservative merch today!
News

Trump, GOP May Find a Way to Make the Corporate Tax Rate Lowest Since 1940

NTK NETWORK

GOP leaders and the White House are putting together the pieces of a plan that could make way for a 25 percent corporate tax rate, which would be the lowest since 1940.

Leaders in the White House and on Capitol Hill appear to be well on their way to a 25 percent corporate tax rate, according to a new report from Politico.

The D.C. publication’s Nancy Cook reported on Tuesday morning that top Trump aides and congressional leaders “have made significant strides in shaping a tax overhaul,” with the target being a drop in the corporate tax rate from 35 percent to “between 22 percent and 25 percent.”

A 10- to 13-point drop in the corporate tax rate would cost anywhere from $1 trillion to $1.3 trillion over 10 years. So how does the GOP pay for that, fulfilling Senate Majority Leader Mitch McConnell’s suggestion that tax reform be “revenue-neutral“?

According to Cook (emphases ours):

There is broad consensus, according to five sources familiar with the behind-the-scenes talks, on some of the best ways to pay for cutting both the individual and corporate tax rates.

The options include capping the mortgage interest deduction for homeowners; scrapping people’s ability to deduct state and local taxes; and eliminating businesses’ ability to deduct interest, while also phasing in so-called full expensing for small businesses that allows them to immediately deduct investments like new equipment or facilities.

Estimates vary, but of these ideas:

Add all of this up, and the tax reform team is looking at $1.4 trillion to $1.9 trillion of 10-year savings. That could easily pay for a 25 percent – or 22 percent – corporate tax rate, and smaller individual tax breaks.

The corporate tax rate hasn’t been under 30 percent since 1940.

 

 

NTK NETWORK
NTK NETWORK

NTK Network is a unique news website that brings together data points from all platforms to tell the whole story. No single news report, photo, or video shows the complete picture. Instead, they have different sources and angles that provide glimpses into a moment. NTK is dedicated to bringing all those angles together so our readers have a complete understanding of what is happening. Today, the amount of information available to readers is overwhelming. NTK wants to break through that. At the same time, we work with partners and organizations to provide content that is unique and original to our audience.

  • 1
Do NOT follow this link or you will be banned from the site!
DON’T MISS OUT!
Subscribe To Our Newsletter
There are a million ways to get your news.
We want to be your one in a million.
Stay Updated
Give it a try, you can unsubscribe anytime.
close-link
%d bloggers like this:
Send this to a friend