by Scott Creighton
“I’m not a populist,” Trump said. “No, I’m not. I’m a man of great common-sense.” That’s one way to put it. But judging by his supply-side (trickle down) tax proposal, conventional Republican is another. The Atlantic
Donald Trump (“The Donald”) has finally released his tax plan after much ado. He created a ton of free publicity for it by hinting at it’s content over the last few weeks with every opportunity he had. The Donald claimed it would make the folks on Wall Street “hate him” but that, sayeth The Donald, was OK because he’s a man of “common sense”, a man of the people.
Fact is, now that his plan has been released, the only real big winners in it are Big Business and the Super Wealthy… and of course, people like The Donald.
The big loser would be the government. His plan would bankrupt Uncle Sam like a Donald Trump run business in record time, the deficit would rise off the charts like a lying Al Gore on a high-low in his global warming movie. That of course would force another “crisis” and result in the decimation of still more public services and the austerity hawks would be served.
In short, in spite of The Donald’s appeal to a growing segment of the republican voters who are rejecting the “business as usual” neocon/neo-liberal elements of the established Republican Guard here in ‘Merika!, fact is, The Donald himself is nothing more than a sheepdog looking to bring those wayward voters of the Red State flock back into the warm and fuzzy fold of Reaganomic Trickle-Down ideology.
More specifically, The Donald’s tax plan is nothing more than a slightly revised version of Jeb Bush’s unpopular tax plan. So what The Donald is doing is helping Jeb normalize his image to the republican base.
Who are the current top candidates in the Republican primary right now? Are they establishment congress-critters? Are they austerity hawks like Scott Walker? In a word… no.
In the GOP race, Trump is the first choice of 21 percent of Republican primary voters — followed by Carson at 20 percent and Rubio and Fiorina tied at 11 percent each. NBC News
52% of the people who bother answering polls want a republican president with no previous attachments to the current political system. Trump is obviously a businessman, Carson is a surgeon and Fiorina was the CEO of Hewlett-Packard.
Mr. Austerity, Scott Walker, was one of the first to drop out of the race. Jeb Bush is garnering something like 7% thanks to his association with his brother who helped create the devastation of the last bubble collapse in 2007-2008.
People on the republican side of the fake two party system are rejecting Business as Usual ideology being pushed by the Business Party (Republican and Democrat parties) and understandably so.
Look at what is happening on the fake left side of the divide. Bernie Sanders is doing his best to pretend to be a populist as well and his stock is rising with every email they find of Killary’s swept under a rug someplace in Libya or Syria.
The only reason he’s not the front-runner, yet, is because no one actually thinks he can win. Or no one thinks he’ll live long enough to be sworn in (what is he, a hundred years old?)
The Business Party of America is in trouble. They have zero credibility because everyone knows they are all bought and paid for. So of course, they have to run some candidates who will shepherd the flocks back into the fold like Moses leading the Israelites through the Red Sea divide. Only difference is, they have every intention to crush them under a wave of austerity once they’ve passed that notorious point of no return.
Enter Bernie Sanders and The Donald.
Don’s tax plan makes this point very clear as does Bernie’s stance on things like Israel and the endless wars of “humanitarian” aggression taking place in the Middle East.
Trump’s “populist” tax plan is as follows:
- Four tax brackets instead of seven: Right now there are seven federal income tax brackets. Trump wants to get it down to four. The first would be a zero-percent rate for the households described above. Individuals making $25,001 to $50,000 (or couples making $50,001 to $100,000) would pay 10 percent in federal income taxes and keep most of their current exemptions and deductions. Those making $50,001 to $150,000 (or couples making $100,001 to $300,000) would pay 20 percent and keep more than half of their current deductions. The highest tax bracket would be 25 percent and apply to those making more than $150,001 per year, along with couples making more than $300,001. Those in the highest tax bracket would see most of their deductions disappear.
- Cut the corporate tax rate to 15 percent: Trump would lower the corporate tax rate for all companies — from mom-and-pop shops up to massive Fortune 500 corporations — to 15 percent, which he said will stimulate the economy and make all of these proposed tax cuts feasible.
- Eliminate various penalties and deductions: Trump wants to get rid of the “marriage penalty,” “death tax” and alternative minimum tax, which he says unfairly hurt middle-class taxpayers. He also wants to reduce or eliminate “most deductions and loopholes available to the very rich,” along with “corporate loopholes that cater to special interests.” He would keep deductions for mortgage interest and charitable giving.
- Allow corporations to bring cash back to the U.S.: Trump estimates that U.S. corporations are keeping as much as $2.5 trillion overseas. He wants them to bring that money back into the country and would offer a one-time incentive of a deeply discounted tax rate of 10 percent. After that, Trump would no longer allow corporations to defer taxes on income earned overseas, although he would keep the foreign tax credit.
(Though he claims his plan will eliminate various loop-holes and deductions the rich use currently, he has published no specifics on those, so we don’t know what those are)
As you can see, the working poor and middle income Americans would save a little money each year under The Donald’s plan but that amount per family or per worker would be minuscule in comparison to what Big Business and the super wealthy like The Donald would save.
With no inheritance tax (which only applies to the very wealthy anyway) the offspring of The Donald look to save BILLIONS of dollars… literally… since it currently stands at 40% and The Donald’s net worth is reportedly somewhere around 10 billion dollars.
Since he’s giving Big Business a tax break by reducing the corporate rate to a paltry 15%, looks like The Donald’s net worth will increase on that one given all the businesses he runs.
He also plans a tax holiday for all those companies holding trillions of dollars in off-shore accounts, allowing them to bring them back home at a “one time only” rate of 10%. The last time this happened was under Obama a couple years ago and the time before that, under Bush. So much for a “one time only” deal.
And of course, reducing the top tax rate from 39.6 to 25% would make for yet another immediate payday for The Donald.
[I]t appears likely that Trump’s plan would be a financial boon for someone of his wealth. Trump and his wife would pay 25 percent, instead of the current 39.6 percent, on any income above $300,001. An income statement he released alongside his personal financial disclosure report this past summer reported his 2014 income as $362 million.
His proposal to eliminate the 40 percent tax on inheritances of more than $5.4 million would allow him to pass on his estate to heirs tax-free, a savings worth billions given his estimated net worth of more than $10 billion.
And by cutting 10 percentage points from the current corporate tax rate of 35 percent, the Trump Organization and its hundreds of subsidiaries would pay less — assuming they don’t already use tax strategies to reduce their effective rate below 15 percent. AP
Clearly, these major giveaways to Big Business and the Super Rich dwarf any gains to be seen by the average American worker, who, by the way, is now forced to pay the “tax” of an insurance policy which was mandated by ObamaGod and backed by the Supreme Court under the guise that it was a “tax” being paid to Big Insurance.
The Donald’s plan, in spite of his “populist” billing saying it was going to “soak the rich and make them pay their fair share”, is nothing more than more of the same trickle-down, supply-side neo-liberal ideology that’s currently being rejected by most of the republican unwashed masses.
Yet here is the phony “alternative” candidate (backed religiously by the phony “alternative” truth-teller, Mike Rivero) pushing for more of the same. So why is that?
Well, as I have said from the very start of all of this… Donald Trump’s job is to get Jeb Bush elected. Or, more specifically, Trump’s role is to create a narrative that can be used to explain HOW Jeb Bush is ‘elected’
Over at Slate they did a comparison between Trump’s and Bush’s tax plans.
- Bush’s tax plan would replace the seven tax brackets we have today with just three rates: 28 percent, 25 percent, and 10 percent (today’s top rate is 39.6 percent). He would also almost nearly double the standard deduction that most families take, which he says would mean there would be 15 million more Americans who owed no federal income tax liability.
- Trump’s extra-luxurious tax plan would replace the seven tax brackets we have today with four rates: 25 percent, 20 percent, 10 percent, and (wait for it) zero for married couples earning less than $50,000. As a result, he says, more than 31 million additional households would not owe any federal income tax. This is far better marketing than Bush’s mumblings about the standard deduction. The campaign’s white paper also says the tax code would be simpler, and all non-tax-owing households would get “a new one page form to send the IRS saying, ‘I win.’” Who doesn’t want to win?
- Bush’s tax plan would lower the top corporate rate from 35 percent to 20 percent.
- Trump’s extra-luxurious tax plan would lower the top corporate rate from 35 percent to 15 percent.
- Bush’s tax plan would lower the top rate on capital gains from 23.5 percent to 20 percent. So would Trump’s extra-luxurious tax plan.
- Bush’s tax plan would eliminate the estate tax (which only hits multimillion-dollar estates to begin with). So would Trump’s extra-luxurious tax plan.
- Bush’s tax plan would eliminate the alternative minimum tax. So would Trump’s extra-luxurious tax plan.
- As a sort of half-hearted populist gesture, Bush’s tax plan would eliminate the carried interest loophole, which largely benefits private equity and some hedge fund managers. So would Trump’s extra-luxurious tax plan. (Because both of them lower rates so much across the board, though, neither would probably end up taxing those financiers much more, and could end up giving many of them a cut.)
- Bush’s tax plan would futilely try to pay for itself in part by eliminating various deductions and loopholes. So would Trump’s extra-luxurious tax plan.
You see, The Donald is not going to end up being the republican candidate in 2016. That role is already slated for Jeb Bush.
The Donald has promised to back whichever republican candidate emerges as the victor from all of this. He wont run as an independent, just like the other sheepdog, Bernie Sanders, has promised.
When he backs out, and he will, The Donald will throw his support behind Jeb mainly due to the fact that Jeb’s tax plan is so “similar” to The Donald’s.
Maybe Jeb is forced to make some changes to his in respect to The Donald’s in exchange for his support. Maybe it’s something else.
Whatever the case may be, The Donald, for all his counter-establishment “populist” appeal to the wayward flock of the republican party, will get behind Jeb Bush for 2016.
Now don’t get me wrong; that wont be enough to get Bush “elected”. But it will be enough to serve as a narrative when the poll numbers don’t match the primary election results (electronic voting machines anyone? Let’s face it… Jeb’s brother was the one who helped pass the Help America Vote Act which pumped tens of millions of dollars into that industry in the first place)
The stories will go something like this:
- Q: Why don’t the primary results match the poll numbers from state to state?
- A: Because republicans who supported Trump don’t want to go on record supporting Bush but they still don’t want Killary so they “hold their noses” and “vote for the lesser of two evils”
Even if The Donald isn’t capable of actually normalizing Jeb’s supply-side trickle-down economic dinosaur of a tax-plan, it doesn’t really matter because the narrative of an explanation is set in place.
“It’s not what it IS. It never is. It’s what it can be MADE TO LOOK LIKE”
The Trump candidacy is a shadow puppet morality play. It’s Kabuki Theater. He’s the blow-hard comb-over Pied Piper leading the disgruntled out of town right straight to the Bush 2016 camp set off in the woods somewhere with it’s tiny little 7% approval rating.
So just sit back and watch the reality show that is our current “democratic” political system here in ‘Merika!
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Filed under: "Decision" 2016!, campaign 2016, class warfare, CTHULHU 2016!, Donald Trump, Election 2016, Electronic Voting Scams, Globalization, Neoliberalizing America, Scott Creighton, The Miracle of America, war on the middle class |