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Monday, June 17th, 2019

Big businesses paying even less than expected under GOP tax law

Author:     BRIAN FALER
Source:     Politico
Publication Date:     06/13/2019 05:12 PM EDT
 Link: Big businesses paying even less than expected under GOP tax law
Stephan:   If you haven't already noticed the American economy is entirely rigged to serve the interests of the rich and the corporations they control. It is so absurdly out of balance that wealth inequality in the United States is greater than in any other developed nation. And, of course, you remember the Republican tax cut when Trump came into office; the one that was going to pay for itself. Well, its effects have been even worse than the worst case scenario advanced by Nobel Laureate economists like Paul Krugman and Joseph Stiglitz, Here are the facts.

Republican Treasury Secretary Steven Mnuchin who claimed that the Republican tax cuts would pay for themselves. He was wrong.
Credit: Getty

Federal tax payments by big businesses are falling much faster than anticipated in the wake of Republicans’ tax cuts, providing ammunition to Democrats who are calling for corporate tax increases.

The U.S. Treasury saw a 31 percent drop in corporate tax revenues last year, almost twice the decline official budget forecasters had predicted. Receipts were projected to rebound sharply this year, but so far they’ve only continued to fall, down by almost 9 percent or $11 billion.

Though business profits remain healthy and the economy is strong, total corporate taxes are at the lowest levels seen in more than 50 years.

At the same time, overall taxes paid by individuals under the new tax law are up so far this year by 3 percent, thanks to higher wages and salaries, according to the Congressional Budget Office. Last year tax payments by individuals went up 4 percent.

The drop comes even as some Republicans, such […]

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1 Comment

  1. Rev. Dean on Tuesday, June 18, 2019 at 7:41 pm

    Why doesn’t everybody know how bad the Republican policies are? Do they just not pay attention to what is happening because of them? I really do not understand it!