Letter to the Editor: Tax cut won’t stimulate economy
Don’t be misled by Republican claims that their tax cut will result primarily in tax relief for the middle class and an invigorated economy with growing wages. There is no sound evidence that a tax cut will stimulate the economy.
Corporations are already flush with cash and giving them more will most likely lead to them doing what they have consistently done in the past: stock buy backs, pay higher dividends for wealthy investors and bonuses for overpaid executives; not increased wages for workers.
To make matters worse, the most wealthy Americans get by far the major cuts with the elimination of the alternative minimal tax (essentially the only tax President Donald Trump paid) and the estate tax that only those worth over $11 million pay, as well as tax cuts and a provision that allows them to pass themselves off as a corporation and get the lower corporate rate.
To pay for this they are eliminating deductions for education, student loans, health costs, hiring veterans, mortgage interest, adoptions, state and local taxes, drastically increasing health cost by eliminating the health care mandate and lowering contribution levels for IRAs and 401K retirement plans, all the while increasing the deficit $1,500,000,000,000! Furthermore, it is the Republican stated objective to correct the deficit they’ve worsened by cutting social programs such as Medicare, Social Security, Medicaid, unemployment, disability, rent and fuel assistance!
This plan favors the most fortunate Americans at the expense of everyone else! Why not instead stimulate the economy with a badly needed infrastructure plan to create good jobs and rebuild America?
Clearly our tax system needs to be reformed to make it simpler, fairer and able to foster growth while meeting the financial demands of America. This plan certainly does not accomplish any of those things. That’s why Republicans are pushing this with no public hearings or meaningful debate, using the reconciliation provisions to bypass these principles of good government. Call or write and demand that this plan be abandoned and reasonable changes be developed through proper process with hearings, debate and serious consideration of the best interests of all Americans.
Nat Kirkland, Edinburg