While Republicans want us to believe that corporations are people when it comes to free speech rights, that idea apparently doesn’t extend to taxation. New reporting from last week shows that the Daines-Gianforte-Trump tax scam led to human beings paying $93 billion more in taxes in 2018 while corporations paid $91 billion less.
For all the talk about how the tax cut would stimulate the economy and pay for itself, it has massively expanded deficits and shifted a portion of the tax burden from corporations to individuals:
As Yahoo! finance reporter Kristin Myer pointed out on the news outlet’s show “The First Trade,” it appeared that taxpayers had “filled the gap” left by corporate tax cuts in 2018.
“I would absolutely agree that if you look at the tax bill as written, unambiguously this is a shift away from taxing corporations toward taxing individuals,” Gardner said.
Gardner is a critic of TCJA because it cut the corporate tax rate from 35 percent to 21 percent without fixing loopholes that corporations have long exploited. “We needed corporate tax reform, and we didn’t get it. We just got corporate tax cuts,” Gardner told us. However, irregularities that occurred in both fiscal years 2017 and 2018 can paint a misleading picture of the long-term impact of the TCJA.
This is the tax world Republicans dream of. In 2018, Amazon’s corporate taxes dropped to nothing on profits of over $10 billion dollars.
And even the reduction in personal taxes that did occur was primarily directed at the wealthiest Americans. According to the Tax Policy Center’s analysis of 2018 taxes, the lowest income households averaged a tax cut of $40, while those in the top 1% received an average tax cut of $33,000.
The tax cut has been a massive failure of public policy. There are ominous signs that the economy is on the verge of entering a recession, despite Republican claims it would generate economic growth. The deficit grew 27 percent from last year, despite Republican claims that it would somehow pay for itself reduce the national debt. And the tax burden in our country shifted even further away from corporations, despite Republican claims that the tax cuts would make significant differences in the lives of ordinary Americans.
Steve Daines and Greg Gianforte need to answer for their support of this disastrous policy, and that’s probably why they never take questions from us.