Politicians of both parties have a special compassion for the super rich, who have had their income taxes reduced from 91 percent (marginal rate for $200,000 and above) after WWII to a top rate of 39.6 percent today (on $418,000 and above). No wonder the rich are getting richer.
Yet despite an expected shortfall of $440 billion for fiscal year 2018, Congress is feverishly working on another tax cut that will primarily benefit the super rich and large corporations and add a $1.5 trillion to $2.1 trillion deficit to the growing $20 trillion national debt over the next ten years.
The rationale is the old saw that more money will be freed by the super rich to spend in the economy and make U.S. corporations more competitive in foreign markets.
Without raising taxes or the economy prospering, U.S. deficit spending will not be reduced without some extremely painful cuts — cuts that could tank the economy again and make things even worse — or (perish the thought) Congress raising taxes to cover the ongoing revenue shortfall.
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If passed, this tax cut will probably have little effect on the national economy, but instead will likely reduce entitlements and cause average wage earners to share more of the tax burden.
Bill Petrie, Richland