The budget will allow Republicans to pass a tax overhaul that adds up to $1.5 trillion to the deficit through a process known as reconciliation, which only requires 51 votes to pass in the Senate.
Category Archives: taxes
Return of the Tooth Fairies
(as referenced by Larry Summers, quoted in this post).
As I watched Secretary Mnuchin on Meet the Press (before discussing his taxpayer funded trip to view the recent eclipse) state :
…the president is not going to sign something that he believes is going to increase the deficit.
I was struck by an overwhelming sense of déjà vu. Of course, the caveat “he believes” is important. Mnuchin mentions “dynamic scoring”, but most economists agree that it is not plausible that the tax cuts as currently sketched out would lead to a revenue neutral outcome.
How Will the Wall Be Funded?
Donald Trump has reaffirmed: “One way or the other Mexico will pay for the wall.” At the same time, as recently as today, Trump threatened a government shutdown if Congress did not provide funding for the wall. Time to consider how these points are — or are not — internally consistent, even allowing for the possibility that Mexico might “ultimately” pay.
Guest Contribution: “Why Tax Breaks for Iffy Jobs are Bad Economic Development “
Today, we are pleased to present a guest contribution by Ann Markusen, Professor Emerita and Director Arts Economy Initiative and Project on Regional and Industrial Economics at the Humphrey School of Public Affairs at the University of Minnesota.
The Administration Considers Raising Taxes
On imported steel, that is
From Politico today:
STEEL REPORT COULD COME NEXT WEEK: Commerce Secretary Wilbur Ross is expected as early as next week to give President Donald Trump a menu of options for restricting steel imports, senators said after a closed-door meeting with the Cabinet official Thursday afternoon.
“I am the king of debt. I do love debt. I love debt.”
That’s a quote from candidate Donald J. Trump in May 2016. And today, he re-affirmed his predelictions, in his tax “sketch”.
Econometrically Assessing the President’s Tax Plan
Well, we don’t know for certain what he’s going to announce (and maybe even he doesn’t know what he will) — but according to Bloomberg…
President Donald Trump plans to propose a 10 percent tax on more than $2.6 trillion in earnings that U.S. companies have stockpiled offshore, said a White House official familiar with the president’s tax plans.
Proceeds from the so-called “repatriation tax” would represent a one-time source of sorely needed revenue, which could offset some of the deep tax cuts Trump has proposed for businesses — or could be devoted toward popular, bipartisan initiatives, like infrastructure spending.
“Who Will Pay for the Wall?”
That’s the title of a new post written by me, on Econofact. Short answer to the question posed: not likely just the Mexicans…
Paying for the Wall/Fence: Capital Controls Edition
Can we fund the partly see-through wall by taxing worker remittances?
What Does Corporate Tax Reform and Paying for the Wall Have to Do with Each Other?
Maybe something, maybe nothing.