Tag Archives: tax code

Trump’s Company Is Suing Towns Across the Country to Get Breaks on Taxes — “Trump, Inc.” Podcast

 

Why is Trump’s business arguing its properties are worth just a fraction of what Trump has claimed they are on his own financial disclosures? To save on taxes.

By Katherine Sullivan. Published 4-11-2018 by ProPublica

Find “Trump, Inc.” wherever you get your podcasts.

President Donald Trump is famous for bragging about his net worth. Publicly, he claims he’s worth more than $10 billion. He even sued an author over the issue and lobbied the editors of Forbes about his ranking on their billionaires list.

Yet quietly in another setting, the Trump Organization says the president’s holdings are worth far less than he has proclaimed. Across the country, the Trump Organization is suing local governments, claiming it owes much less in property taxes than government assessors say because its properties are worth much less than they’ve been valued at. In just one example, the company has asserted that its gleaming waterfront skyscraper in Chicago is worth less than than its assessed value, in part because its retail space is failing and worth less than nothing. Continue reading

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Analysis: Major Corporations Have Spent Just 6% of Tax Cut Windfall on Workers. Guess Where the Other 94% Went.

“You mean corporations aren’t using the bulk of their tax cuts to create jobs and boost workers’ wages like Trump promised? Weird…”

By Jake Johnson, staff writer  for CommonDreams. Published 2-28-2018

White House National Economic Council Director Gary Cohn and Treasury Secretary Steve Mnuchin. Screenshot: YouTube

Almost everyone—nonpartisan commentatorseconomists, and even President Donald Trump’s chief economic adviser—predicted that corporate shareholders and CEOs, not workers, would be the primary beneficiaries of the Republican tax law, and several recent analyses have shown that prediction to be right on the money.

While many corporations immediately launched aggressive PR campaigns crediting the tax plan Trump signed in December with new “investments” in employees, a study by the nonprofit group JUST Capital published on Wednesday found that the sensational headlines touting worker bonuses obscured the fact that the vast majority of the law’s benefits have gone straight to the pockets of wealthy shareholders. Continue reading

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We started a revolution over this once

Do you remember voting for lobbyists to decide who pays what in taxes? We don’t.

Photo: Daniel Huizinga/flickr

On Friday night, the Senate passed their version of the #GOPTaxScam. The bill, all 479 pages of it, was presented to the full Senate just hours before the vote. The vote was along party lines, with the one dissenting vote among the Republicans coming from Senator Bob Corker of Tennessee.

So, what was in this bill, and why did they vote on it before all the Senators could actually read through the bill? We’re glad you asked. First, what’s in it.

A lot of the bill is what you’d expect. For example:

  • The top individual rate is reduced from 39.6% to 38.5%, and the threshold at which the top rate kicks in is increased from $418,000 for a single/$480,000 for married filing jointly to $500,000/$1,000,000
  • The estate tax exemption is doubled, to $11 million for a single taxpayer and $22 million for married taxpayers.
  • The corporate rate is reduced from 35% to 20%.
  • The top rate on the income earned by owners of “flow through” businesses — S corporations and partnerships — is reduced from 39.6% to a shade below 30%.

Questions about these measure that we were forced to ask include; how is it that corporations are able to keep the tax deductions that have now been excluded from individual tax bases? Why is the corporate tax is now LOWER than the top individual rate? If corporations are people too, why is there ANY difference in these tax rates?

Then, there’s the “Why are these items in a tax bill, anyways?” parts. These include:

  • A provision that explicitly allows parents to use tax-free college savings plans, known as 529s, for a “child in utero.” This is essentially a personhood bill, setting a precedent for the legal definition of life beginning at conception.
  • The bill repeals the Johnson Amendment, which bans non-profit groups from engaging in political activism. This would mean that churches and the like could actively engage in elections without disclosing individual donors; think of it as Citizens United on steroids. This serves the purpose of blurring the lines between the separation of church and state, allowing the churches to donate and promote individual candidates in local and national elections, all while cloaked under the donation secrecy this provision allows.
  • Eliminating the individual mandate of the ACA. While this actually does deal with taxes (the fine for not being insured is paid as part of your taxes), removing the mandate means that younger and healthier people won’t buy insurance until they need it. These are the people who currently offset the cost of providing healthcare to the older and sicker people. Without this in place, premiums will rise dramatically more than the anticipated 10% over the next 10 years.
  • A provision that would open part of Alaska’s Arctic National Wildlife Refuge, or ANWR, to oil and gas exploration. While this would raise revenue, it only amounts to $2 billion over the next ten years, at the cost of almost assuredly ruining the local environment and ecosystem. Additionally, it is worded in such a way that it is actually ILLEGAL to not drill, forcing Alaska to accept ANY drilling permits and fields desired.

Of course, the individual tax cuts are set to expire, meaning that the middle class will see a tax increase. And, what’s going to pay for these? The GOP mantra’s always been that tax cuts pay for themselves, but others, such as Marco Rubio, have already admitted that the tax reform is part one of a two-step process designed to defund and eventually dismantle Medicaid, Medicare and Social Security; the very programs designed to help the elderly, disabled and poorest members of American society.

Now obviously, a lot of these proposals don’t sit well with the electorate. So, why the rush to pass it? The GOP needs a victory. Even with controlling both houses of Congress and the White House, this administration’s been notably inept in getting meaningful things accomplished. Furthermore, the GOP donor class has stated that the campaign money will dry up if they don’t get the tax cuts they want.

Photo: Represent.US

So, who came up with most of the amendments? Lobbyists. Out of the 11,000 registered lobbyists in Washington, more than 6,000 said that they worked on taxes this year. That works out to 11 lobbyists for each member of Congress. Do you remember electing lobbyists to write our laws? We sure don’t.

We still have a chance to stop this. The House and Senate bills now go to a conference committee. The bill that comes out of that will need to be passed by both houses. The healthcare fiasco this summer proves that if we’re loud and persistent enough, our message gets through. And, with the bill only having 37% approval before the vote, there’s enough of us to make the message get through.

And what if it doesn’t? The last time that the GOP had won control of both houses and the presidency before 2016 was 1928. The new tax bill looks even more extreme than the policies put into place by the Republicans after the 1928 election. Does anybody remember what happened in 1929?

Another annoying historical factoid that you may wish to remember at a time like this: 244 years ago, a group of people decided that they weren’t going to pay taxes without proper representation, and what became known as the Boston Tea Party took place. This in turn led to a revolution, and the founding of this country.

“Those who cannot remember the past are condemned to repeat it.” – George Santayana

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How the tax package could blur the separation of church and politics

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If a House provision gets enacted, churches will be able to endorse – not just pray for – political candidates. Andrew Cline/Shutterstock.com

Susan Anderson, Elon University

The tax package pending in Congress includes a provision that would leave churches and other nonprofits, which by law must be nonpartisan, suddenly free to engage in political speech.

This measure, currently only in the House version of the bill, could potentially change charitable life as we know it.

As an accounting professor who teaches nonprofit taxation, I believe that this significant change deserves vigorous public debate and is too big to bury in tax legislation. Continue reading

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All Evidence Shows #GOPTaxScam Is Horrible. Only Question: Can It Be Stopped?

“No good can come of this plan unless you are wealthy or a corporation.”

By Jon Queally, staff writer for CommonDreams. Published 11-18-2017

Photo: LinkedIn

While informed critics and experts say they are now “running out of adjectives to describe how horrible” the GOP’s House and Senate tax plans are, the evidence continues to mount showing the manner in which the party’s overall approach is a gift to the rich and corporations at the expense of low- and middle-income families, millions of whom who will see their taxes actually go up while key social programs like public education, Medicare, Medicaid, and Social Security will face massive cuts.


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‘There You Have It’: McConnell Says He ‘Misspoke’ When He Promised No Tax Hike on Middle Class

New York Times analysis published Friday found that millions of middle class families would see their taxes rise under GOP plan

By Jake Johnson, staff writer for CommonDreams. Published 11-10-2017

Following the release of a slew of analyses showing that the GOP tax plan would raise taxes on many middle class families—despite repeated promises to the contrary by the Trump administration and Republican lawmakers—Senate Majority Leader Mitch McConnell (R-Ky.) conceded in an interview with the New York Times Friday that he “misspoke” when he declared last week that “nobody in the middle class is going to get a tax increase.”

“I misspoke on that,” McConnell told Times reporter Sheryl Gay Stolberg‏. “You can’t guarantee that absolutely no one sees a tax increase, but what we are doing is targeting levels of income and looking at the average in those levels and the average will be tax relief for the average taxpayer in each of those segments.” Continue reading

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Lindsey Graham Latest Republican to Admit GOP Tax Plan Is All About Keeping ‘Financial Contributions’ of Donors Flowing

“Republicans are literally out here warning each other that their big donors will stop writing checks if they don’t do their bidding.”

By Jake Johnson, staff writer for CommonDreams. Published 11-9-2017

As Common Dreams reported Tuesday, Rep. Chris Collins (R-N.Y.) has made a similar remark, complaining that his donors are pressuring him to pass enormous tax cuts or “don’t ever call me again.” (Photo: Gage Skidmore/flickr/cc)

Sen. Lindsey Graham (R-S.C.) on Thursday became the latest Republican to admit the GOP is trying to ram through massive tax cuts for the rich to satisfy its wealthy donors, telling a journalist that if the party’s tax push fails, “the financial contributions will stop.”

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GOP ‘Propaganda’ Not Working: Only 13% Believe Tax Plan Will Help Middle Class

New survey also shows that 60 percent believe the Republican plan will “mainly favor” the rich

By Jake Johnson, staff writer for CommonDreams. Published 11-3-2017

Photo: YouTube

For months Republicans and President Donald Trump have worked to convince Americans that massive tax cuts for the top one percent and the largest corporations would somehow primarily benefit the working class, but a new Washington Post/ABC News poll published Friday finds that the public isn’t buying the GOP’s “propaganda.”

Despite House Speaker Paul Ryan’s (R-Wis.) insistence on Thursday that his party’s proposals are geared toward helping “the middle class families in this country who deserve a break,” only 17 percent of Americans believe the GOP tax plan “mainly favors” the middle class, while 60 percent believe their plan would primarily benefit the wealthiest. Continue reading

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Trump Tax “Hoax” Would Blow $5 Trillion Hole In Budget Over Next Decade: Analysis

‘The idea that this plan would help average Americans instead of the wealthy and big corporations has been a hoax all along.’

Mick Mulvaney press conference about President Donald Trump’s budget plan. Screenshot: YouTube

By Jon Queally, staff writer for Common Dreams. Published 9-26-2017

Trumpcare may be dead again (for a while at least) on Tuesday, but Republicans now want to get serious about what they call “tax reform,” but which critics are resolute in saying is just a major push to give the nation’s corporation and wealthiest individuals another massive giveaway they don’t need and certainly don’t deserve.

A day ahead of the Trump administration’s scheduled release of what it says will be a “detailed” tax plan, progressive policy groups are again warning the American people not to be fooled by rhetoric as they highlight estimates showing the likely proposal will cost the government trillions of dollars in revenue over the next decade and lead the way towards massive cuts in key social programs that help insulate low-income and working Americans from an economy already “rigged” in favor of the wealthy and powerful. Continue reading

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Corporations Complain Their Taxes So High, But New Study Busts That Myth

Minimum-wage workers can’t afford to rent a one-bedroom apartment, but the GOP thinks it’s massive corporations that need an income boost

By ake Johnson, staff writer for Common Dreams. Published 8-11-2017

According to the Center on Budget and Policy Priorities, corporate profits are “near all-time highs.” Wages for most workers, meanwhile, have been stagnant for decades. (Photo: Jason Hargrove/Flickr/cc)

Corporate profits are up. Wages remain low. And, as always, the richest are angling for ever-lower tax rates.

Only 0.1 percent of full-time workers earning the minimum wage can afford to rent a one-bedroom apartment in any state in the U.S., but judging by their tax agenda, the Republican Party and President Donald Trump appear to feel it is massive corporations and billionaires—not American workers—who need an income boost. Continue reading

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