Trumps claim on cutting the Corporate Tax Rate

[Straw Man]

Trump argues that wages will jump after he cuts business tax rates. He's been saying that for months. His plan will “lower tax rates for business to create more jobs and higher wages for Americans,” Trump told a group of lawmakers Tuesday as he tried to win support for his plan to make the corporate tax rate 20 percent, a major cut from the current 35 percent level.

Other Republican lawmakers have picked up the talking point.

“If we lower the tax rates, these kinds of (American) companies will prosper, will grow, will hire, they’ll increase wages,” House Speaker Paul D. Ryan (R-Wis.) said Tuesday, echoing Trump. “There’s no doubt about it, this country needs this.”

So is the claim true? Do wages always rise when corporate tax rates go down?

Well, it didn't happen after the 1986 Tax Reform Act. Wages fell in the months and years after President Ronald Reagan signed the bipartisan legislation in October 1986, which slashed the corporate tax rate from 46 to 34 percent.

Average weekly wages for rank-and-file workers (non-supervisors) went from $285 a week in the autumn of 1986 to $282 a week in October 1987, according to Labor Department statistics that are adjusted for inflation. And they kept dropping. Average weekly wages hit $271 a week by 1990.

There aren't any other time frames to check because the United States hasn't done any big overhauls to corporate tax rates since 1986.

https://www.washingtonpost.com/news/wonk/wp/2017/09/27/beware-of-trumps-claim-that-wages-will-soar-after-he-cuts-taxes/?utm_term=.b36f70b341e8


BTW - don't expect any economic stimulus either.  Check out what happened when Kansas did a massive tax cut a few years ago
https://www.theatlantic.com/politics/archive/2017/10/tax-trump-kansas/542532/

[Coach is Back!]

Is that it? Another article from Bezos driven Washpo? lol

[Straw Man]

Is that it? Another article from Bezos driven Washpo? lol

lol ?

feel free to go research the facts for yourself and then come back and join the conversation

[Coach is Back!]

lol ?

feel free to go research the facts for yourself and then come back and join the conversation

Why? I don’t give a fuck. You act like you have something over on him. Lmao

[Straw Man]

Why? I don’t give a fuck. You act like you have something over on him. Lmao

You're a Trumptard (and a certified moron) so of course you don't give a fuck about facts

Why do you think this is about "him"?

Paul Ryan, Gary Cohn, Mnuchin and many other Repubs are all trying to sell the same lie

Given that you don't care about "facts" I'm guessing you have no clue how much YOU will get fucked by the proposed changes to the tax code

Of course the entire country and our economy will also likely suffer great damage but we already know you don't give a fuck about that

[Irongrip400]

Filing as an S Corp, I'm not sure how the new tax law really affects me. It's my thought it has to be a Corporation or you file your LLC as a C Corp. When I looked at the way they taxed corporations, after the first few years in business I'm not sure how it will help after that. I suppose the uber rich have a way to ring something out of it. Either way, if it's passed, I'd prefer that it helps the little guy out. If I can ever give my guys more, I do.

[Vince G, CSN MFT]

https://www.washingtonpost.com/news/wonk/wp/2017/09/27/beware-of-trumps-claim-that-wages-will-soar-after-he-cuts-taxes/?utm_term=.b36f70b341e8


BTW - don't expect any economic stimulus either.  Check out what happened when Kansas did a massive tax cut a few years ago
https://www.theatlantic.com/politics/archive/2017/10/tax-trump-kansas/542532/

Fuck off you commie bastard

[Straw Man]

Fuck off you commie bastard

still on your period fat bitch?

[Fuzzy Nuts]

Only the dumbest of the dumb would believe this corporate welfare tax plan will make things better for the middle class.

[Straw Man]

Only the dumbest of the dumb would believe this corporate welfare tax plan will make things better for the middle class.

well our phony "coach" has already chimed in so we have the dumbest of dumb contingent represented

Trumptards are so fucking stupid if Viagra pulled their ads from Hannity they'd cut off their dicks in protest

[Irongrip400]

Straw, do you hope this program falls on its face so you can say "told you so" or do you want it to work so that we can have even more economic success than what's happening currently?

[Straw Man]

Straw, do you hope this program falls on its face so you can say "told you so" or do you want it to work so that we can have even more economic success than what's happening currently?

It's got nothing to do with "I told you so"

In fact, that's the worst  possible outcome for me and everyone in this country

My point is that Republicans are selling LIES.  These tax cuts won't increase wages and they will almost certainly add a trillion dollars (or more) to the debt. 

This will be a self inflicted financial disaster for this country

If you don't want to listen to me then listen to Republicans in Kansas

https://www.theatlantic.com/politics/archive/2017/10/tax-trump-kansas/542532/

[Soul Crusher]

This thing is a sham for most people  - its a wash for most.  Net most people will not see a dime more at the end of the year. 

[Fuzzy Nuts]

This thing is a sham for most people  - its a wash for most.  Net most people will not see a dime more at the end of the year. 

It would seem so. Just a shuffle of the cards for the middle class.

[Straw Man]

This thing is a sham for most people  - its a wash for most.  Net most people will not see a dime more at the end of the year. 

benefits for individual phase out but benefit for corporations are permanent

Also, the main issue against this is that it's estimated to increase the deficit/debt by 1.7 TRILLION

http://time.com/5015271/republican-tax-plan-deficits-trillion/

I'm fine if the Repubs want to give tax cuts to the wealthiest people in this country but they need to quit lying about it and find a way to pay for it

fiscal responsibility is supposed to be THEIR THING

One of the Tea Baggers main issues was supposed to be the reduction of budget deficits and federal debt

WTF??

[Las Vegas]

Yeah, SC.  I agree.  Sham, all the way.  And totally overdone, though not sure how else this sort of bullshit could be pushed but to pretend it helps the common people.

[jude2]

Filing as an S Corp, I'm not sure how the new tax law really affects me. It's my thought it has to be a Corporation or you file your LLC as a C Corp. When I looked at the way they taxed corporations, after the first few years in business I'm not sure how it will help after that. I suppose the uber rich have a way to ring something out of it. Either way, if it's passed, I'd prefer that it helps the little guy out. If I can ever give my guys more, I do.

I am in the same boat.  This is why one of the Senators is against it. Don I think is his first name, point is he wants it to help the S corps more, like it does for the other Corps 20% cap.