This is probably more important that getting rid of ObamaCare. There is a good major tax cut ready to vote on, and passage of this bill will cause a huge economic boom in this country that is almost guaranteed. Combined with regulatory cuts, it is called supply side economics. It was the policy of Coolidge, Harding, Kennedy, and Reagan and in each case an economic boom that lasted decades occurred. There are zero examples of democrat economic policies having any such result.
This tax plan is not however without deficiencies. This tax plan leaves out the most important tax payers; the wealthy, and that is a huge mistake. It also denies the state tax deduction, another mistake. The tax plan needs to cut taxes especially for the wealthy who pay 70% of all the taxes. Cutting taxes on the wealthy means more jobs for the rest of us. Do you want better job opportunities or is it more important for you to punish the rich?
Trump seems to be pandering to the left to counter their national anthem against supply side economics; “tax cuts for only the rich”. And their other mantra designed to mislead voters about the policy;’trickle down economics’. The question is, are the voters going to be betrayed again by the recalcitrant republican senators who with their votes have broken their promises to replace obamacare? Good goddamn John McCain is the biggest loser in the whole Senate. He killed the bill to stop ObamaCare for one reason only, revenge against Trump for slamming his service record. It seems that McCains brain cancer has indeed affected his judgement. But he doesn’t get all the credit. We can thank 3 other senators who aren’t team players as well.
The Unified Tax Relief Framework Will Bring Jobs and Businesses Home
“We must reduce the tax rate on American businesses so they keep jobs in America, create jobs in America, and compete for workers right here in America — the America we love.” – President Donald J. Trump
AMERICAN BUSINESSES AND WORKERS GET TAX RELIEF: President Donald J. Trump is supporting crucial tax relief in the unified framework so American businesses will come back to the United States.
- The framework will reduce the corporate tax rate to 20 percent.
- The framework will cap the top marginal tax rate paid by sole proprietors, S corporations, and partnerships to 25 percent.
- For the next five years, American businesses will be able to immediately write off the cost of their heavy equipment and other capital investments.
- This will help American businesses afford the heavy industrial machinery and other capital investments they need to grow.
BRINGING PROFITS HOME: The unified tax relief framework supported by President Trump will end the “offshoring model” that encourages companies to keep their profits out of the country.
- This plan will stop the “offshoring model,” which penalizes companies for incorporating in the United States.
- Profits that have accumulated offshore will be subject to a one-time low tax, thereby ending the tax incentive to keep those profits offshore.
- To avoid paying high U.S. corporate taxes on foreign profits, American companies often reinvest their money abroad instead of repatriating it to American shores.
- Companies hold an estimated $2.8 trillion in earnings offshore, according to Audit Analytics.
- The U.S. Treasury Department’s Office of Tax Policy has said the American tax system for multinational corporations has “serious problems.”
CURRENT SYSTEM HURTS AMERICAN WORKERS AND BUSINESSES: The United States has the highest corporate tax rate among developed economies, a burden carried by American workers.
- A crushing tax burden on American companies is really a crushing burden on American workers.
- According to one study by the CBO, over 70 percent of the corporate tax burden falls on American workers.
- The United States has the highest corporate income tax rate among the 35 industrialized Organisation for Economic Co-operation and Development (OECD) countries, according to the OECD.
- The U.S. corporate tax rate has been higher than the OECD average for almost 20 years.
- The average total corporate tax rate among OECD nations is 24 percent, while the United States is nearly 40 percent.
- The U.S. average corporate tax rate is almost 10 points higher than China’s, according to the Congressional Budget Office.
- “The United States has the highest corporate tax rate…and despite offering significant additional deductions, exclusions, and tax credits, imposes the heaviest tax burdens,” according to new research published in a Brookings paper on economic activity.
President Donald J. Trump Puts Americans First in Tax Relief
“If we want to renew our prosperity, restore our opportunity, and reestablish our economic dominance – which is what we should be doing – then we need tax reform that is pro-growth, pro-jobs, pro-worker, pro-family, and, yes, pro-American.” – President Donald J. Trump
An America First Tax RELIEF PLAN: President Donald J. Trump, the House of Representatives Ways and Means Committee, and the Senate Finance Committee are proposing vital tax relief to strengthen the middle class, grow the economy, and unleash America’s economic comeback.
- We are calling for a dramatic tax cut, which includes:
- A larger zero tax bracket;
- Lower tax rates for individuals, providing relief to Middle Class American families;
- Lower small business tax rates, giving a boost to millions of American businesses and farms; and
- Lower corporate tax rates, making American business more competitive.
- Tax cuts, like those in President Trump’s unified framework, boost economic growth.
- Since Vice President Pence’s 2013 tax cuts, as Governor of Indiana, unemployment in Indiana has been cut in half and more than 200,000 jobs have been created.
- President Reagan’s 1986 corporate income tax cut contributed 3.3 percent to economic growth over ten years, according to the Tax Foundation.
A TAX CUT For WORKING AMERICANS: We are laying out a tax-relief framework that will unburden America’s Middle Class.
- Double the standard deduction so that more income is taxed at zero percent.
- The first $12,000 of income for an individual and $24,000 for a married couple will be tax-free.
- Consolidate the seven existing tax brackets for taxable income to only three brackets: 12 percent, 25 percent, and 35 percent.
- Increase and expand the Child Tax Credit to benefit more middle-income families and eliminate the marriage penalty.
- Create a new $500 tax credit for those caring for an adult dependent or elderly loved one.
Simplify the tax code: We will simplify tax filing so Americans can file their returns on a single sheet of paper.
- The vast majority of Americans will be able to file their taxes on a single sheet of paper.
- American individuals and businesses spend more than 6 billion hours complying with the tax code, according to the National Taxpayer Advocate.
- The plan repeals the Alternative Minimum Tax, which requires many taxpayers to do their taxes twice.
- The plan ends the job killing “Death Tax.”
Lower The Crushing Business Tax Rates: We will cut tax rates for American business and make American business competitive again.
- The plan will reduce the corporate tax rate to 20 percent.
- The United States corporate income tax rate is the highest in the Organisation for Economic Co-operation and Development (OECD), and has been above the OECD average for almost 20 years.
- The United States corporate income tax rate is more than 10 points higher than China’s, according to the Congressional Budget Office (CBO).
- The plan will also reduce the top tax rate paid by sole proprietors, S corporations, and partnerships to 25 percent.
- For the next five years, American businesses will be able to immediately write off the cost of their equipment and other capital investments.
- Economists agree that America’s corporate tax rate harms America’s workers by keeping their wages down.
- More than 70 percent of the corporate tax burden falls on American workers, according the CBO.
Bring Wealth Back: We are proposing an “American Model” that will bring back trillions of dollars held overseas and restore America’s competitive edge.
- Profits that have accumulated offshore will be subject to a one-time low tax rate, thereby ending the tax incentive to keep those profits offshore.
- To avoid paying high U.S. corporate taxes on foreign profits, American companies have often reinvested their money abroad instead of repatriating it to U.S. shores.
- Companies hold an estimated $2.8 trillion in earnings offshore, according to Audit Analytics.
- This plan will stop the “Offshoring Model,” which penalizes companies for incorporating in the United States.
Unified Framework for Fixing Our Broken Tax Code
The Trump Administration, the House Committee on Ways and Means, and the Senate Committee on Finance have developed a unified framework to achieve pro-American, fiscally responsible tax reform. This framework will deliver a 21st century tax code that is built for growth, supports middle-class families, defends our workers, protects our jobs, and puts America first. It will deliver fiscally responsible tax reform by broadening the tax base, closing loopholes, and growing the economy.
“We have a once-in-a generation opportunity to give American workers and businesses the level playing field they deserve and make us competitive once again on the world stage,” said Director of the National Economic Council Gary Cohn. “The Administration and Congress have worked together to develop this unified framework for tax reform, which will grow our economy, create jobs, and provide relief for working families. This framework will deliver on the President’s promise to end the rigged system that has kept our workers and businesses down for too long.”
This unified framework serves as a template for the tax-writing committees that will develop legislation through a transparent and inclusive process. The committees will also develop additional reforms to improve the efficiency and effectiveness of tax laws and to achieve the framework’s goals. The Chairmen of the tax-writing committees welcome and encourage bipartisan support and participation in the process.
HIGHLIGHTS OF THE UNIFIED TAX REFORM FRAMEWORK
Lowers Rates for Individuals and Families
The framework shrinks the current seven tax brackets into three – 12%, 25% and 35% – with the potential for an additional top rate for the highest-income taxpayers to ensure that the wealthy do not contribute a lower share of taxes paid than they do today.
Doubles the Standard Deduction and Enhances the Child Tax Credit
The framework roughly doubles the standard deduction so that typical middle-class families will keep more of their paycheck. It also significantly increases the Child Tax Credit.
Eliminates Loopholes for the Wealthy, Protects Bedrock Provisions for Middle Class
To provide simplicity and fairness the framework eliminates many itemized deductions that are primarily used by the wealthy, but retains tax incentives for home mortgage interest and charitable contributions, as well as tax incentives for work, higher education, and retirement security.
Repeals the Death Tax and Alternative Minimum Tax (AMT)
The framework repeals the unfair Death Tax and substantially simplifies the tax code by repealing the existing individual AMT, which requires taxpayers to do their taxes twice.
Creates a New Lower Tax Rate and Structure for Small Businesses
The framework limits the maximum tax rate for small and family-owned businesses to 25% – significantly lower than the top rate that these businesses pay today.
To Create Jobs and Promote Competitiveness, Lowers the Corporate Tax Rate
So that America can compete on level playing field, the framework reduces the corporate tax rate to 20% – below the 22.5% average of the industrialized world.
To Boost the Economy, Allows “Expensing” of Capital Investments
The framework allows, for at least five years, businesses to immediately write off (or “expense”) the cost of new investments, giving a much-needed lift to the economy.
Moves to an American Model for Competitiveness
The framework ends the perverse incentive to offshore jobs and keep foreign profits overseas. It levels the playing field for American companies and workers.
Brings Profits Back Home
The framework brings home profits by imposing a one-time, low tax rate on wealth that has already accumulated overseas so there is no tax incentive to keeping the money offshore.
Remarks by President Trump at Tax Reform Event
Farm Bureau Building
3:30 P.M. EDT
THE PRESIDENT: Thank you very much. You just want massive tax cuts. That’s what you want. That’s the only reason you’re going so wild. (Applause.)
But it’s wonderful to be back in the great state of Indiana. What a place. (Applause.)
I want to thank Senator Todd Young, Senator Joe Donnelly, Representative Jackie Walorski, Representative Susan Brooks, and Representative Mike [sic] Messer for joining us today. Thank you very much. Thank you very much for being here. Appreciate it. (Applause.)
I also want to thank members of my economic team, Secretary Steven Mnuchin and Director Gary Cohn, for joining us, as well. We appreciate it. (Applause.)
Let me begin by saying that our hearts and prayers go out to the people of Puerto Rico and the Virgin Islands who are suffering in the wake of yet another catastrophic hurricane. I mean, their island was virtually destroyed. Federal agencies are working closely with local partners to help these communities get back on their feet as soon as possible.
Texas, Florida, and Louisiana are doing great, and the recovery process is happening very, very quickly.
I will be going down to Puerto Rico next week to get an on-the-ground briefing about the disaster recovery and to see all of our great first responders and to meet a lot of the people who were so affected by these storms. We are with you now, I tell them, and we will be there every step of the way until this job is done. It is truly catastrophic what happened in Puerto Rico. (Applause.)
And massive amounts of water, food, and supplies, by the way, are being delivered on an hourly basis. It’s something that nobody has ever seen before from this country, I can tell you that. And I’m very proud of all of the folks that have worked so hard in FEMA, all of our first responders, all of our police that have gone to the island because their police force has been so badly affected. And many of their policemen — in fact, most of the police people have lost their homes, and it’s been a tough go. But we are — we’re going to get it back.
Before we go on to discuss the largest tax cut in our county’s history, I also want to provide a brief update on healthcare. We have the votes on Graham-Cassidy. But with the rules of reconciliation, we’re up against a deadline of Friday — two days. That’s just two days. And yes-vote senator — we have a wonderful senator, great, great senator — who is a yes vote, but he’s home recovering from a pretty tough situation. And with so many great features, including all of the block granting, the money to the states, et cetera, et cetera, our healthcare plan is really going to be something excellent. It’s going to be better managed for the people that it serves. Having local healthcare representatives is far better than having healthcare managed from Washington, D.C. Not even a contest. (Applause.)
And many, many governors, as you also see, have agreed with us and approved it and really look forward to running it properly. But again, because the reconciliation window is about to close, we have to wait a few months until it reopens before we take a vote. So we’re getting all of the good signs from Alaska and the others to repeal and replace Obamacare. And I was hoping this would be put on my desk right after we won the election, and I’d come in and sign. But it didn’t work that way. There were a couple of people that — I won’t say anything. (Laughter.) But early next year when reconciliation kicks back in, in any event long before the November election, we’re going to have a vote. And we’re going to be able to get that through, and I think we’ll actually get it through very easily and the time makes it easier.
But speaking of reconciliation, the Republican Senate needs to get rid of the filibuster rule, which is blocking so many great legislative reforms the American people badly want and deserve. By the way, the Democrats, if they had the opportunity, which hopefully they won’t for many, many years, they would get rid of it on day one. And most of you know exactly what I’m talking about.
We’re here today in Indiana to announce our framework to deliver historic tax relief to the American People. (Applause.)
This is a once-in-a-generation opportunity, and I guess it’s probably something I can say that I’m very good at. I’ve been waiting for this for a long time. We’re going to cut taxes for the middle class, make the tax code simpler and more fair for everyday Americans, and we are going to bring back the jobs and wealth that have left our country — and most people thought left our country for good. (Applause.)
We want tax reform that is pro-growth, pro-jobs, pro-worker, pro-family, and, yes, tax reform that is pro-American. (Applause.) It’s time to take care of our people, to rebuild our nation, and to fight for our great American workers. (Applause.)
Indiana is a tremendous example of the prosperity that is unleashed when we cut taxes and set free the dreams of our citizens. This state has claimed a powerful competitive edge built on low taxes and less regulation — and are we cutting regulation? (Applause.)
And businesses all across the country have taken notice. In recent years, Indiana has welcomed dozens of companies fleeing high taxes and high-tax states. Thousands of new jobs and massive capital investment have followed — meaning a better quality of life for the people of Indiana.
All of this is possible because the people of this state have made a decision. They chose to make Indiana competitive again. They chose, and their choice was so important. It included electing a governor, who you may have heard of — (laughter) — who signed the largest income tax cut in the state’s history, our very, very terrific person and terrific Vice President, Mike Pence. (Applause.)
It’s time for Washington to learn from the wisdom of Indiana. We need Washington to promote American jobs instead of obstructing them. That is what I have been working to achieve every day since I took office. That is what I talked about on the campaign trail.
Already, we’re seeing the results of an economic policy that finally puts America first. (Applause.) Unemployment is at a 16-year low. Unemployment for African Americans is near its lowest point since the turn of the millennium. It’s really a fantastic thing to see. (Applause.)
Wages are rising. Optimism among manufacturers has reached all-time highs. GDP growth last quarter reached 3 percent way ahead of schedule; nobody thought that was going to happen for a long time. (Applause.) And this quarter, I believe, would have been better, but the hurricanes will have an impact. But other than that, it would have been, in my opinion, even better.
Your government is working for you once again, not for the donors, not the special interests, but the hardworking taxpaying citizens of our country. (Applause.)
America is back on the right track. And I see so many red hats — Make America Great Again. That’s what we’re doing — Make America Great Again. (Applause.) But our country and our economy cannot take off like they should unless we dramatically reform America’s outdated, complex, and extremely burdensome tax code. It’s a relic. We’ve got to change it. We have to compete — compete with other countries.
The current tax system is a colossal barrier standing in the way of America’s economic comeback because it can be far greater than it’s ever been. But we’re going to remove that barrier to create the tax system our people finally, finally, finally — and want and deserve.
For several months, my administration has been working closely with Congress to develop a framework for tax reform. Over the next few months, the House and Senate will build on this framework and produce legislation that will deliver more jobs, higher pay, and lower taxes for middle-class families — for the working man and woman — and for businesses of all sizes. I look forward — (Applause.) Thank you.
I look forward to working with Congress to deliver these historic tax cuts and reforms to the American people. These tax cuts are significant. There’s never been tax cuts like what we’re talking about.
Our framework is based on four key ideas: First, we will cut taxes for the everyday, hardworking Americans — the people that work so long, so hard, and they’ve been forgotten. But they’re not forgotten anymore. I think we proved that on November 8th. (Applause.)
Under this framework, the first $12,000 of income earned by a single individual will be tax free, — (applause) — and a married couple won’t pay a dime in taxes on their first $24,000 of income. So, a married couple — up to $24,000 — can spend their money on their family, on their children, on what they have to do. So much better.
In other words, more income for more people will be taxed at a rate of zero. (Applause.) At this zero percent rate, taxable income will be subject to just three tax rates of 12 percent, 25 percent, and 35 percent.
Jonathan Blanton and his wife Jamie from Greentown are here with us today. Where are they? Oh, hello, Jonathan. How are you? (Applause.)
Jonathan does industrial janitorial work and Jamie works at an auto company. Together they’re raising four beautiful children, and last year they earned less than $90,000. Under our tax plan they would have saved more than $1,000, and it could be substantially more. And that’s just on federal taxes. So they would have saved at least $1,000.
Middle-income families will save even more money with an increased child tax credit for children under the age of 17, which so many families have been calling for. (Applause.)
We will eliminate the marriage penalty in the existing credit and expand eligibility to include even more middle-income families. Greatly expanded.
We’re also expanding the child tax credit because we believe the most important investment our country can make is in our children. (Applause.) And this is just one more critical way that we’re targeting relief to working families.
In addition, under our framework, those caring for the elderly loved — and we love these people, but we’re caring, and we take such care of the elderly and other adult dependents — will receive financial relief in the form of a $500 tax credit. (Applause.)
We’re doing everything we can to reduce the tax burden on you and your family. By eliminating tax breaks and loopholes, we will ensure that the benefits are focused on the middle class, the working men and women, not the highest-income earners. (Applause.)
Our framework includes our explicit commitment that tax reform will protect low-income and middle-income households, not the wealthy and well-connected. They can call me all they want. It’s not going to help. I’m doing the right thing, and it’s not good for me. Believe me. (Applause.)
But what is good for me — not only as President and legacy — what is good for me is if everything takes off like a rocket ship, like it should have for 20 years. That’s good for me. That’s good for everyone. (Applause.) And that’s what I think is going to happen. (Applause.) And a lot of very wealthy people feel the same way, believe me.
In fact, we are eliminating most itemized deductions that primarily benefit the wealthiest taxpayers. We’ve also given Congress the flexibility to add an additional top rate on the very highest income earners to provide even more tax relief for working people.
Second, our framework will make the tax code simple, fair, and easy to understand, finally. (Applause.)
Americans waste money. Americans waste so much money — billions and billions of dollars and many hours each year to comply with our ridiculously complex tax code. More than 90 percent of Americans use assistance to prepare their taxes. Under our framework, the vast majority of families will be able to file their taxes on a single sheet of paper. (Applause.)
We are also repealing the alternative minimum tax, or AMT. About time. (Applause.)
The AMT is actually a shadow tax system that requires many people to calculate their taxes two different ways and pay the higher of the two amounts. You’re all familiar with it. Under our framework, the AMT will make even less sense because we are repealing many of the special interest tax breaks that it was designed to deal with. We are making our taxes simple again. We are simplifying our tax system.
To protect millions of small businesses and the American farmer, we are finally ending the crushing, the horrible, the unfair estate tax, or as it is often referred to, the death tax. (Applause.)
That means, especially for all of you with small businesses that are really tremendous businesses, you’ll be able to leave them to your family, and your family won’t have to run out and do a fire sale to try and get the money to pay the tax — lose the business, ends up going out of business. All of those jobs are lost. The farmers in particular are affected. They have wonderful farms, but they can’t pay the tax, so they have to sell the farm. The people that buy it don’t run it with love. They can’t run it the same way, and it goes out. So that death tax is a disaster for this country and a disaster for so many small businesses and farmers. And we’re getting rid of it. (Applause.)
Now if you don’t like your family, it won’t matter, okay? (Laughter.) But for those that love your family, it matters a lot. (Laughter.)
With us today is Kip Tom, a family farmer from Leesburg — Where’s Kip? Go ahead, Kip. Hi, Kip — (applause) — who fears that his family’s farming heritage — it’s been a long time. How long, Kip? A hundred and eighty-seven years — that’s peanuts, Kip. (Applause.) Wow. That’s a long time. But that great heritage could come to an end because of the death tax, or the estate tax, and could make it impossible for him to pass that legacy to his wonderful family. We’re not going to let that happen.
We are not going to allow the death tax to steal away the American Dream from these great, great families, many of which are in this room today. (Applause.)
We will protect our farmers, our ranchers, and our small businesses, and we will make taxes simple, easy, and fair for all Americans. Okay? (Applause.)
Third, we will cut taxes on American businesses to restore our competitive edge and create more jobs and higher wages for American workers. (Applause.)
In Indiana, you have seen firsthand that cutting taxes on businesses makes your state more competitive and leads to more jobs and higher paychecks for your workers. Now, we want to do the same thing for America, making our country more competitive with other nations. And in many cases, those other nations are taking advantage of us in so many ways. They say they’re friends, and perhaps they are, but believe me, I am renegotiating our trade deals, including NAFTA, including many other trade deals. (Applause.)
And through regulation, all you have to do is look at the massive pipelines — Dakota Access. You take a look, 48,000 jobs immediately approved. So we’re letting that happen.
But in terms of the tax and the tax strategy that Ronald Reagan used to create an economic boom in the 1980s: When our economy took off, the middle class thrived, and the family income of all families was increasing more and more. And it was a beautiful sight to behold.
Since then, other nations have adopted, unfortunately, our playbook and ran it even better than we did. And I shouldn’t say even better because we didn’t run it well at all, and we let other nations come in and take advantage of us and take our jobs away and take our businesses out. And we’re stopping that, and you see it right here what we’ve done.
Today, our total business tax rate is 60 percent higher than our average foreign competitor in the developed world. That’s not good. We have surrendered our competitive edge to other countries, but we’re not surrendering anymore. We’re not surrendering anymore.
Under our framework, we will dramatically cut the business tax rate so that American companies and American workers can beat our foreign competitors and start winning again. (Applause.) We will reduce the corporate tax rate to no higher than 20 percent. That’s way down from 35 and 39 — (applause) — which is substantially below the average of other industrialized nations.
This is a revolutionary change, and the biggest winners will be the everyday American workers as jobs start pouring into our country, as companies start competing for American labor, and as wages start going up at levels that you haven’t seen in many years. (Applause.)
When our companies move to other countries, it’s our loyal American workers who get hurt. And when companies stay in America, and come to America, it’s our wonderful workers who reap the rewards.
And I just left the United Nations last week, and I was told by one of the most powerful leaders of the world that they’re going to be announcing, in the not-too-distant future, five major factories in the United States — between increasing and new — five. (Applause.) You’ll be hearing about that very soon.
And I said thank you very much, and he said, “you know what? It’s starting to happen in the United States. It’s starting to happen.” So I just wanted to let you know that. I promised I wouldn’t say who. I’ll keep my word. Okay? (Laughter.) Unless you force me. (Laughter.)
AUDIENCE MEMBERS: Who?
THE PRESIDENT: Members of both parties — it happens to be in the automobile industry. That’s a good industry. (Laughter.) Members of both parties should agree that we need a tax code that keeps jobs in our country and brings jobs back to our country. (Applause.)
And for the millions of small businesses and farms that file their taxes as sole proprietors, S corporations or partnerships, we will cap the tax rate they pay at 25 percent — much lower. Big difference. (Applause.) This will be the lowest top marginal income tax rate for small and mid-size businesses in this country in more than 80 years. (Applause.)
To give businesses even more reason to boost their investment in America, for the next five years, our framework will allow to fully write off — listen to this — the cost of equipment in the year they buy it. That is big. (Applause.) And that’s instead of having to take deductions and deduct the cost over a long period of time. Now that’s called incentive. That’s called incentive. (Applause.) This will be tremendously important to help American businesses afford the heavy industrial machinery and other capital investments they need to grow big and grow strong.
Joining us today is John Gannon, the owner of a custom wood fencing and deck construction company in Indianapolis. John is the father of nine children, and recently celebrated his 35th wedding anniversary. Congratulations, John. (Applause.)
And John is in the fencing company, as you heard, and I’m just thinking — I have to mention this — you know, we have a fence around the White House. (Laughter.) We have a fence around the White House, and they want to build a new fence. And I figured, you know — I’m pretty good at construction — I figured, I don’t know, maybe a million, maybe a million-and-a-half. And this has been taking place over a long period of time — previous administrations.
So I said, “how much is the fence you’re talking around the White House?” “Sir, the fence will cost approximately $50 million.” I said, “What?” (Laughter.) I kid you not, and we have thousands of things like that. Thousands. We’re going to get it all down, but think of that: $50 million. Now, I assume it’s a strong fence. (Laughter.) Okay? So, John, do you think you could do it for slightly less than $50 million? I think he could take $49 off right now and he’d have plenty of profit. Right? Right, John? It’s crazy. (Applause.) It’s crazy. Never understand it, but we’re working on it.
John says that a tax cut like we’re proposing will make his business more competitive, allowing him to expand, hire more workers, and raise wages for his current employees. Right, John?
Also with us is Aaron Williams, a father of two who works in the field of information technology. Where’s Aaron? Hello, Aaron. Hi. (Applause.) It’s a good field.
Aaron has seen the disastrous effects of high — and just literally, high corporate tax rates right up close and personal, as more and more high-tech jobs are shipped overseas. You’ve been watching it, Aaron. Right? All over. Like millions of other Americans, Aaron wants to bring those jobs back to the United States.
We’re going to reduce the tax rate on American businesses so they can keep jobs in America, Aaron; create jobs in America; compete for workers in America; and raise wages right here in America. You’re going to be in a much different position. Okay? (Applause.) Thank you. Tremendous incentives.
We want more products proudly stamped with those four beautiful words: Made in the USA. Right? (Applause.) Made in the USA.
Finally, our framework encourages American companies to bring back the trillions and trillions of dollars in wealth that’s parked overseas. Our current tax system — (applause) — trillions. And by the way, for years I’ve been hearing it’s 2.5 trillion. So I’ve been hearing this for about five years, so I assume it’s much more. Right? But Democrats want to do it, and Republicans want to do it. For years — who doesn’t want to do it? They want to bring — but they can’t do it because it’s so restrictive, and the taxes are so ridiculous. So they can’t do it. So the money stays in other countries, and it’s invested in other countries. We want to bring it back.
But think of it, it’s one of the few things — Democrats want it and Republicans want it. So they both want it, and yet for years they haven’t been able to do it. Now we’re doing it. We’re doing things. (Applause.)
You know, it’s one thing when we want a healthcare and they want a healthcare, and there’s a dispute. But here’s something everybody wants and they can’t do it. So you can tell you, there’s a broken system in D.C., but we’re getting it fixed rather — I think — rather rapidly. You’ll be seeing that over the next few months.
Our current tax system makes us one of the few developed nations in the world to punish our companies when they bring wealth earned overseas back into our country. We’re punishing them for bringing the money back in.
As a result, corporations have parked many trillions of dollars in foreign countries, and many have incorporated abroad in order to avoid our punitive tax system altogether. And some companies actually leave our country because they have so much money overseas — so much, it’s an incredible amount — that they move the company to get their money. We’re going to let them bring the money back home. (Applause.)
Our framework will stop punishing companies for keeping their headquarters in the United States. We’re punishing companies under our codes for being in the United States. We will impose a one-time low tax on returning money that is already offshore so that it can be brought back home to America where it belongs and where it can be put to work and work and work. (Applause.)
The framework I’ve just described represents a once-in-a-generation opportunity to reduce taxes, rebuild our economy, and restore America’s competitive edge. Finally. (Applause.)
And I have to say, just before coming here we released some of the details of the tax and the tax reform and the tax cuts, and it has really received tremendous, tremendous reviews. And if Senator Donnelly doesn’t approve it, because you know he’s on the other side, we will come here. We will campaign against him like you wouldn’t believe. (Applause.) I think they’re going to approve it. I think we’ll have — actually, I think we’ll have numerous Democrats come across because it’s the right thing to do.
These reforms will be a dramatic change from a failed tax system that encourages American businesses to ship jobs to foreign countries that have much lower tax rates. It’s what we can’t do. Our competitors have much lower tax rates. But no longer. My administration strongly rejects this offshoring model, and we have embraced the new model. It’s called — the American model. (Applause.)
Under the American model, we are reducing burdens on our businesses as long as they do business in our country. That’s what we want. We want them to do business in our country, not to leave our country like a number of firms from Indiana. Some made some great promises to me, but those promises are only being partially kept because they’re incentivized to leave. But now they’re going to be incentivized to stay. And if that doesn’t work, then we’ll get even tougher than that. Okay?
We want our companies to hire and grow in America and to raise wages for American workers, and to help rebuild American cities and towns. (Applause.)
That is how we will all succeed together and grow together as one team, one people, and one American family. We want it to happen here. (Applause.)
Tax reform has not historically been a partisan issue, and it does not have to be a partisan issue today. I really believe we’re going to have numerous Democrats come over and sign because it’s the right thing to do. I believe that it’s the right thing to do, and I know many of them. And they’re telling me it is the right thing to do. President Reagan’s tax cuts were passed with significant bipartisan majorities at a time when there was a Democrat majority in the House and a Democrat Speaker — Tip O’Neill.
Before that, Democrat President John F. Kennedy championed tax cuts that surged the economy and massively reduced unemployment. As President Kennedy very wisely said, “The single most important fiscal weapon available to strengthen the national economy is the federal tax policy. The right kind of tax cut at the right time” — at the right time, this is the right time — “is the most effective measure that this government could take to spur our economy forward.” That was President Kennedy. (Applause.)
My fellow Americans, this is the right tax cut, and this is the right time. Democrats and Republicans in Congress should come together, finally, to deliver this giant win for the American people and begin middle-class miracle — it’s called a middle-class miracle, once again. It’s also called a miracle for our great companies; a miracle for the middle class, for the working person.
I truly believe that many Democrats want to support our plan, and with enough encouragement from the American people, they will find the courage to do what is right for our great country. (Applause.) But they’ll only do it if you, the American people, make your voices heard. Only if you tell Congress to give us a tax code that puts American jobs first. And that’s what we’re doing. (Applause.)
History has proven time and time again that there is no power on Earth more awesome than the will of the American people. That is why today I am asking all Americans — Republican, Democrat, independent — to join with me, and with each other to demand tax reform that will truly, truly, truly make America great again. (Applause.)
Call your congressmen. Call your senators. Let them know you’re watching. Let them know you’re waiting. Tell them that today is the day for decision. That now is the time to heal this self-inflicted economic wound. And that with their action, the future will belong to all of us.
If you demand it, the politicians will listen. They will answer, and they will act. And someday, many years from now, our children and our grandchildren will remember this moment in history as the time when ordinary Americans took control of their destiny and chose a future of American patriotism, prosperity, and pride. (Applause.)
With your help and your voice, we will bring back our jobs, we will bring back our wealth, and for every citizen across this land, we will bring back our great American dreams.
Thank you, God bless you, and God bless the United States of America. (Applause.)
END 4:13 P.M. EDT
WTAS: Widespread Praise for President Trump’s Unified Framework for Tax Reform
MEMBERS OF CONGRESS
Speaker of the House Paul Ryan (R-WI): “Today, we move one step closer to fixing our broken tax code so that it puts Americans first. This is our best opportunity in a generation to deliver real middle-class tax relief, create jobs here at home, and fuel unprecedented economic growth. It has been 31 years since we last got this done, and hardworking families and small businesses cannot afford to wait any longer. Under President Trump’s leadership, we are determined to finally give the American people the simpler, fairer, and more competitive tax system they deserve.”
Senate Majority Leader Mitch McConnell: “Later today, I look forward to joining members of the Senate Finance Committee, the House Ways & Means Committee, and other congressional leaders in unveiling a unified framework for fixing our nation’s broken tax code. It’s an idea that can bring much-needed relief to middle-class families and small businesses and help keep more jobs in America. It’s the result of a lot of hard work and input from Members, Committees, staffs, and the administration, to name a few — I thank them again for their continued diligence on behalf of our country. This framework is focused on supporting American jobs, on making taxes fairer and on growing families’ paychecks.”
Senate Finance Committee Chairman Orrin Hatch (R-UT): “For too long, Americans have been bogged down by an outdated tax code that runs counter to the goal of growth and fails to promote jobs and investment here at home… Principals in the Senate, House, and administration recognized this challenge and worked with members to find consensus and produce a unified framework that marks a significant shift away from America’s broken tax system… Our unified framework will launch a robust legislative process and serve as a critical roadmap for the tax-writing committees, as we draft legislation for a tax overhaul that embraces Republicans’ shared vision. We are committed to creating a healthier American economy that will produce more jobs, bigger paychecks and a fairer, more predictable system for taxpayers across the country. The challenge before us is clear. The Senate Finance Committee is ready to roll up its sleeves and get to work.”
House Ways And Means Committee Chairman Kevin Brady: “This is an exciting day for the millions of Americans who are tired of today’s broken tax code and have waited for years for better job opportunities, more take-home pay, and a stronger economy. Today, House Republicans joined President Trump and our Senate colleagues in letting the American people know: we’re taking action. After years of work, we are moving forward with a unified framework that paves the way for bold, transformational tax reform – tax reform that will bring more jobs, fairer taxes, and bigger paychecks. We have a lot of work ahead. But this moment marks a major step forward in the process. Now it’s time for the Ways and Means Committee to build on this momentum and deliver legislation that President Trump can ultimately sign into law. We are closer than ever to finishing what we have started for the American people – and 2017 is our year to make it happen.”
Senate Majority Whip John Cornyn (R-TX): “This plan lays the foundation for a simpler tax code that will enable Texans to keep more of what they earn and help create jobs here at home. As Congress continues to work on reforming our antiquated tax code, working families and small businesses in Texas are my top priority. I look forward to working with my colleagues and the President to enact reforms that spur economic growth and put money back in the pockets of hardworking Texans.”
Senator John Thune (R-SD): “The Obama era brought higher taxes, more regulations, and a stagnant economy. Congress now has the opportunity to implement pro-growth tax reform policies and provide relief to working families. The administration together with Speaker Ryan, Leader McConnell, and leaders of the Senate Finance Committee and the House Ways and Means Committee have produced a framework that gives us the ability to do just that. Working Americans across the country are living paycheck to paycheck. We must deliver on tax reform policies that will lead to more jobs, fairer taxes, and bigger paychecks. I look forward to working with President Trump, leaders in both chambers of Congress, and my fellow members of the Finance Committee to ensure our reforms make it to the president’s desk for his signature.”
Senator Roger Wicker (R-MS): “One of my top priorities is to help President Trump reform our country’s broken tax code and ensure that Mississippi families keep more of what they earn…This particular proposal has the potential to make the economy roar, help job creators, spur innovation, and renew the spirit of the American Dream. This is a watershed moment that we cannot afford to miss.”
House Majority Leader Kevin McCarthy (R-CA): “Tax reform is our country’s greatest opportunity to make America stronger and give people the opportunity for better lives. Today’s code is broken. It was designed in a different time and for decades it has grown to benefit special interests at the expense of hardworking taxpayers who simply don’t have an army of tax lawyers. This unified framework answers the call from the American people for a fairer and simpler tax code that will create jobs. It will also propel American innovation and business to new heights in the 21st century. With President Trump and the Republican Congress we will rise to this moment and deliver tax reform for a stronger America.”
Rep. Mike Bishop (R-MI): “Today, we’re moving the ball forward on tax reform. The American people have not seen bold, transformational tax reform in 31 years – and our Congress and Administration are doing something about it. Our framework outlines the ways we can create jobs here in the United States and bring more back from overseas. Middle-income families can expect much-needed tax relief and bigger paychecks. It will be simple enough for nine out of 10 Americans to file their taxes on a postcard. Job creators of all sizes, especially small businesses, will get relief and have more certainty so they can plan ahead and grow our economy. This is tax reform done right.”
House Budget Committee Chairman Diane Black (R-TN): “As a unified government, we worked with President Trump and the Senate to craft a framework benefitting every income level, especially the middle class. Our reform also delivers the lowest tax rates in modern history for businesses so job creators can provide bigger paychecks to their employees and incentivize hard work. By simplifying the system and getting the government out of the way of our free-market economy, America is made more competitive on an international scale and the potential for unprecedented job creation is unleashed. We believe this will be a catalyst for more jobs, bigger paychecks and fairer taxes – this framework is pro-America. Plain and simple.”
Rep. Ken Calvert (R-CA): “The tax reform framework announced today is an important step towards making America’s tax code fairer, simpler and more competitive…We need a tax code that works for the middle-class and for our job creators. By putting America first we can create more economic opportunities that will benefit hard-working families throughout our country.”
House Small Business Committee Chairman Steve Chabot (R-OH): “Today, we took a positive step toward fixing our broken tax code and helping provide relief to the tens of millions of small businesses across our country who continue to be held back by a broken system. Small businesses deserved a voice in the largest tax reform in 31 years and today they were heard. This unified plan will provide small business owners, their families, and their employees with a simpler and fairer tax code that will help their bottom lines, and also grow our economy.”
Rep. Warren Davidson (R-OH): “Hardworking Ohio families deserve a simple tax system and more take home pay. In the coming weeks, I’ll be working with my colleagues in Congress to make sure the bold, pro-growth and pro-family reforms that this framework proposes are put in place and that a final bill arrives on President Trump’s desk as soon as possible.”
Rep. Ron Estes (R-KS): “Real tax reform is needed to keep America competitive in a global marketplace. Economic growth from reforming our antiquated tax system will bring higher wages, and better jobs for working families in Kansas. It’s time to fix America’s complex and outdated tax code so that Kansas families have more money in their pocket to save for retirement or plan for college. I look forward to acting on this framework and working with the Ways and Means Committee to put more money back in the hands of hard-working Kansans.”
Rep. Tom Graves (R-GA): “This framework turns the page on our complicated and broken tax system. It’s simpler, flatter and fairer than the current tax code. It will put more money in the pockets of hard-working Americans. It also promotes economic growth and private-sector job creation by slashing the corporate tax rate – currently the highest in the developed world – and ensuring fair treatment for small businesses. Congress needs to get the final product to the president’s desk as quickly as possible.”
Rep. Gregg Harper (R-MS): “Today, with the help of the President, Congress has taken a huge step towards fixing our country’s broken tax code and bringing real reform to middle-class families, small businesses, and Mississippi’s family farms who cannot afford to keep the current system any longer. This plan is aimed at delivering a simpler, fairer tax system that will create jobs, grow our economy, and deliver much-needed relief to the hardworking men and women who are hurting under the burdensome tax code.”
Rep. Jody Hice (R-GA): “I really like what I’m seeing so far with the tax reform framework. This bold, new proposal is just the first step toward creating a system that is both competitive and fair. I’m pleased that it will empower Americans to take home more of their hard-earned paychecks and enable businesses of all sizes to grow and thrive. We’re moving in the right direction, and I’m proud to be a part of this long overdue reform effort. As the tax-writing committees continue to flesh out the specific legislation, I look forward to being a partner in the discussion so we can send a final bill to President Trump’s desk as soon as possible.”
Rep. Lynn Jenkins (R-KS): “This framework will serve as an outline as Congress takes an important step to reform our broken tax code and replace it with a simpler and fairer code. One that lowers rates for individuals and families so they save time and money doing their taxes and keep more of their hard-earned money. A tax code that helps jumpstart our economy and creates more opportunities for all Americans.”
Rep. Sam Johnson (R-TX): “America’s current tax code is complicated and broken, and right now we have an opportunity to fundamentally reform it for the 21st Century. Not only does Washington have a much-needed chance to make the code simpler – which I strongly believe is necessary, but it’s an opportunity to enable businesses so they are better able to compete in the global economy. Even more important, tax reform should reward hardworking American families. This blueprint is a first step. We must get tax reform right, and I look forward to working with my fellow Ways and Means colleagues on behalf of America’s taxpayers.”
Rep. Mike Kelly (R-PA): “Today is a day to celebrate. With this framework, pro-growth tax reform is no longer just a lofty ambition but a concrete plan that is closer to realization than at any point in over three decades. This is a total win for America in every measurable way. For hardworking families and individuals, this means more take-home pay. For American companies, it means no longer having to pay the world’s highest tax rate but, instead, being able to create new jobs, increase wages, and compete globally on a level playing field. For everyone, it means a much stronger American economy supported by a fairer, simpler, more understandable tax code. This is an economic growth plan. This is a jobs plan. This is a relief plan for hardworking Americans who are tired of forfeiting too much of their hard-earned paycheck to the government. The foundation of this framework is the mandate delivered loudly by the American people last year.”
Rep. Roger Marshall (R-KS): “This fairer, simpler system will be a huge relief for the working and middle class. Gone are the days of a 75,000-page tax code full of favors and loopholes for the most powerful, wealthy and well-connected. This reform is overdue, and why many of my colleagues and I came to this body – to bring real-world, commonsense reform for our generation, for our kids, and for our grandkids.”
Rep. Patrick McHenry (R-NC): “Our tax code is broken. It hurts America’s families and small businesses and strangles economic growth. The unified framework released today changes this. It provides relief to middle-class American families, simplifying the tax filing process and reducing rates so they can keep more of their hard-earned money. Our plan will help spur the economy and create good-paying jobs by lessening the burden on our small businesses. Today’s announcement is an important first step in a long overdue process. In the weeks ahead, I look forward to working with my colleagues and President Trump on this important effort.”
Rep. Paul Mitchell (R-MI): “As I have said repeatedly throughout this process, we need a tax reform plan that focuses on delivering relief to those who need it most – the middle class. The framework released today would double the standard deduction so that families and individuals can keep more of their hard-earned dollars, simplify the code into three tax brackets, and eliminate unfair taxes like the ‘Death tax’ that place an undue burden on farmers and family owned businesses. The American people asked for tax relief; it’s time for both parties and both chambers of Congress to come together to deliver. I look forward to working with my colleagues in the House and Senate, and with President Trump, to turn today’s framework into legislation that will put American workers and families first.”
Rep. Dave Reichert (R-WA): “The framework outlines a plan that provides tax relief and a simplified code to middle-class families, making Americans’ day to day life more affordable so individuals and families can focus on the things that matter. And it sets out a path for significant economic growth, by lowering tax rates for American businesses and encouraging investment here at home. America’s outdated tax code has weighed down American workers and businesses as our foreign competitors move forward. We simply must have a tax code that supports the creation of good-paying jobs in America. This is a once in a generation opportunity that will improve the lives of American families for generations to come. I look forward to working with the Administration and my colleagues on both sides of the aisle over the coming months on a tax plan that will give Americans a raise, help our businesses compete, and simplify the tax code.”
House Veterans’ Affairs Committee Chairman Phil Roe (R-TN): “The framework released today is a down payment on our promise to create jobs and grow our economy. By simplifying the way taxes are collected through consolidated brackets, repealing the Death Tax, and eliminating loopholes primarily used by the wealthy, middle-class Americans will be able to keep more of the money they earn and in turn provide for their families. I look forward to working with the Trump administration and my colleagues in Congress to keep our promise to deliver long-awaited tax relief that will greatly benefit East Tennesseans.”
Rep. Pat Tiberi (R-OH): “This is a framework for tax reform that will help all Americans, especially those who have felt left behind in the slow and uneven economic recovery of the past decade. We will simplify the code, make it easier for everyone to file their taxes, and allow middle-income Americans to keep more of their paychecks so they have the confidence and ability to save, plan for the future and get ahead.”
Rep. Fred Upton (R-MI): “Our framework will deliver tax relief for middle-class families, allow workers to take home more money, and put American businesses in a better competitive position – keeping jobs here at home. Americans need tax relief and reform now more than ever. As I’ve spoken to countless folks and businesses, small and large, here in Southwest Michigan all agree that our tax code is too unwieldy, too costly, and too complicated. It’s time to change that so we can unleash American competitiveness and ingenuity which will create more good-paying jobs and economic benefits right here. I’m confident we can deliver this year. I look forward to working with my colleagues here in the House and Senate and with the administration to deliver results for families and businesses in Michigan and across the country.”
Rep. Tim Walberg (R-MI): “The framework released today begins the process of simplifying the tax code and allowing hard-working, middle class families in Michigan to keep more of what they earn. These reforms will increase take-home pay, boost job creation, and enable a more competitive and healthy economy. Meaningful tax reform is the key to growing good-paying jobs and opportunity for all American workers and manufacturers. I look forward to working with all my colleagues in Congress and the Trump administration to get the job done.”
Rep. Jackie Walorski (R-IN): “This framework gives tax relief to middle-class families and simplifies the tax code so they can file their taxes on a postcard. It lowers tax rates on small businesses, helps manufacturers build more American-made products, and makes America more competitive in the global economy. And it puts American workers on a level playing field by ending the incentive for companies to send jobs and capital overseas. We have a once-in-a-generation opportunity to put American families, workers, farmers, small business owners, and manufacturers on a stronger path, and I look forward to working with my colleagues on the Ways and Means Committee in the coming weeks to get a bill ready for the president’s signature.”
Treasury Secretary Steven T. Mnuchin: “Today President Donald J. Trump shared how middle-income families will win when we cut their taxes, and make American businesses competitive again. The President outlined a framework with Congress that will create a simpler and fairer tax code that fuels job creation, higher wages, and economic growth, and will lead to the lowest marginal income tax rate for small and mid-size businesses in more than 80 years. Indiana is a great example of how tax relief and reforms like these can lead to record-high employment, more investment in education and innovation, and more manufacturing right here in America. Democrats and Republicans have a historic opportunity to work together to pass meaningful legislation that, as the President stated, will begin the ‘Middle Class Miracle.’ With the President’s leadership, we will create a level playing field so that American businesses and workers will be in a position to succeed in our global economy.”
Agriculture Secretary Sonny Perdue: “The people of American agriculture work hard every day to provide food, fiber, and fuel for their fellow citizens, so they shouldn’t be overburdened by the tax collector as well. Most family farms operate as small businesses, with the line between success and failure frequently being razor thin. Add to that the complexity and costs of merely complying with the tax code, and their budgets are stretched even tighter. On top of it all, the unfair ‘Death Tax’ can cause too many family farms to be broken up and sold off to pay the tax bill, undoing lifetimes of toil and preventing further generations from carrying on. President Trump is right to push for reform and reductions in the tax code—an overhaul that is long overdue.”
Labor Secretary Alex Acosta: “President Donald J. Trump’s tax reform framework is great news for Americans and American job creators. This plan will create a simpler and fairer tax system. American families will keep more of their hard-earned pay, and job creators will have more resources to invest in the American workforce. This plan promotes job creation in the United States. We are going to see investment return home, fueling new job growth across all industries. It is critical that we unleash the full potential of the world’s greatest workforce: the American workforce.”
Administrator of the Small Business Administration Linda McMahon: “I built a business from the ground up, so I know first-hand how challenging the current tax code is for entrepreneurs. One of the first things I hear from the business owners I’ve met in my travels around the country is the urgent need for tax reform. They want to see lower rates and a simpler tax code to level the playing field. President Donald J. Trump’s proposed framework eliminates special interest tax breaks that benefit the wealthy and lowers the corporate tax rate, restoring our competitive edge and boosting our economy, which is always good for small business. It also caps the top rate for businesses that operate as pass-through entities (S-Corporations and LLCs). This is reform that will be welcomed by small business owners!”
Americans for Tax Reform President Grover Norquist: “The Republican tax reform plan will turbo-charge the economy, create millions of new jobs and make America the best place in the world to invest, build and create.”
Americans for Prosperity Chief Government Affairs Officer Brent Gardner:“This is a strong framework for the kind of bold, pro-growth reform we’ve been working to support all year. If Congress can translate policy like this into legislation, we can expect a renaissance for the U.S. economy, job growth and production to follow. This plan will improve lives by allowing Americans to keep more money in their paychecks and ensuring the United States is the best place in the world to do business.”
Club for Growth President David McIntosh: “Club for Growth is very encouraged and pleased with the long-awaited tax reform outline that the Big Six released today…. The outline is both aggressive and very pro-growth with its rate reductions. Club for Growth congratulates the members of the Big Six for their hard work and will continue to support the pro-growth efforts of the Trump administration and Congress as they seek to make tax reform a reality.”
Freedom Partners Vice President of Policy Nathan Nascimento: “This framework is a giant step for a stronger economy, and more jobs and higher wages for the American people. Making it a reality would let taxpayers keep more of their hard-earned money, increase America’s global competitiveness, and send a message that there will be no better place in the world to invest and create jobs than the United States. We look forward to continue working with Congress and the administration to rally support for tax reform and unite all Americans behind the kind of positive vision announced today. Americans have been promised a simple, fairer tax code that unrigs the economy and puts taxpayers ahead of special interests. It’s time to deliver on that promise.”
FreedomWorks President Adam Brandon: “The framework released today represents a transformation of America’s tax code and would help the middle class. It simplifies a complex system that taxpayers spend billions annually to comply with and will spur economic growth, allowing American businesses to increase wages and create more jobs.”
American Action Network Executive Director Corey Bliss: “The White House and congressional leaders have unveiled a unified and bold plan to move forward on pro-growth tax reform that puts middle-class families and job creators first. With too many hardworking Americans living paycheck to paycheck and small businesses struggling to keep up with foreign competition, it’s clear the status quo has failed. Congress has the opportunity to make things right and deliver a tax code that is simple, fair and lowers rates for working families and small businesses.”
60 Plus Founder and Chairman James Martin: “There’s a lot for seniors to like in President Trump’s framework for tax reform. After reviewing the President’s plan, I believe the net effect can be summed up in four words – promises made, promises kept. It abolishes the Death Tax as he promised, safeguarding family farms, ranches and small businesses. It simplifies the tax code by reducing to three the number of marginal tax brackets, and caps the maximum tax rate for family owned businesses. In addition to that, the doubling of the standard deduction will be a huge boon to low-income retirees and those who no longer itemize their deductions because they have sold their homes and moved to retirement communities. President Trump’s plan to set the corporate tax rate to 20 percent and a one-time low rate for bringing home their overseas profits will go a long way toward creating new jobs and providing greater economic growth in communities across America, all while making the United States more competitive in the global economy. This tax reform package is true to President Trump’s promises to the American people and we look forward to educating our millions of 60-Plus members on its virtues and benefits for them, their families and our nation.”
Citizens Against Government Waste President Tom Schatz: “The ‘Big Six’ tax reform plan is a historic opportunity to unleash the economic potential of the American people. If the plan is enacted, Americans will get to keep more of their own money, filing taxes will be far simpler, and small businesses will boost wages and create jobs.”
National Taxpayers Union President Pete Sepp: “For overburdened taxpayers, the wait is over – Congress and the President are not only reading from the same book on tax reform, they’re now getting on the same page. The core tax reform principles they’ve outlined in today’s framework can deliver on relief for middle-class families and individuals, a simpler filing process, a fairer system that allows all businesses to create more jobs, and ultimately a prosperous economy…. In short, we have the best opportunity in more than three decades to transform our antiquated tax code for the benefit of everyone.”
Heritage Action CEO Michael Needham: “We have a once in a generation opportunity to fundamentally reform our nation’s stagnant and convoluted tax code that suppresses American job creators and workers. Heritage Action applauds President Trump and congressional leaders for uniting behind a coherent set of reforms and reductions that align with conservative priorities. If enacted, there is no doubt such a plan would unleash economic growth, create jobs and increase wages.”
Consumer Action for a Strong Economy: “CASE enthusiastically supports the bold and dynamic Tax Reform proposal released today by President Trump and Congressional leaders. They understand the critical need America’s workers and businesses have for a tax system that will create jobs, spark economic growth, and let people keep more of what they earn. This is exactly what they accomplished by putting forth a plan that lowers individual and corporate tax rates, makes our tax code simpler, fairer, and less complicated, and creates incentives to keep jobs in America and bring trillions of dollars of assets back to our shores. CASE fully supports this framework and will work with lawmakers and other leaders to see it come to fruition, to finally bring an end to the current tax structure which punishes work, savings and investment, while making America less competitive in the global economy.”
Middle-Class Growth Initiative Spokesman Michael Steel: “Pro-growth tax reform is decades overdue, and the unified framework released today is a major step toward the simpler, fairer tax code Americans deserve…. With the prosperity of middle-class families as a central objective, these reforms will lead to higher wages, greater job creation, and stronger economic growth. Workers are counting on members of Congress and the Administration to come together and pass this plan.”
BUSINESSES, TRADE GROUPS, AND PRIVATE SECTOR LEADERS
U.S. Chamber Of Commerce Senior Vice President And Chief Policy Officer Neil Bradley: “Today’s announcement, and the unity of vision shown in it, bolsters our confidence that tax reform can be enacted this year. The engagement and enthusiasm for pro-growth tax reform from Trump administration officials and Congressional lawmakers is what will propel this over the finish line for American businesses, workers, and families. The U.S. Chamber applauds the work that has been done to narrow the differences and we look forward to continuing to engage policy makers on this critical issue.”
National Association of Manufacturers President And CEO Jay Timmons:“Today is a great day for those who believe America’s best days are still ahead. This tax reform framework is the type of bold action manufacturers have been calling for because it will spur economic growth for all Americans. The United States needs to continue to be the most attractive place to invest and start a business, and this initial proposal is a positive step in that direction.”
Small Business & Entrepreneurship Council President And CEO Karen Kerrigan: “The unified framework released by GOP leaders and tax writers today is a solid starting point for tax reform. The plan lowers rates for small businesses, simplifies the tax system and encourages investment and capital formation. These are the necessary pieces for producing a healthy ecosystem that will enable American entrepreneurs and small businesses to succeed…. It is a bold package that will produce big growth for the U.S. economy.”
The National Federation of Independent Business: “We are grateful to the President and congressional leaders for remaining steadfast on tax reform. We are pleased to see that the initial plan calls for reducing taxes on pass-through companies, which represent the overwhelming majority of American small businesses. This is the beginning of a long process, and we look forward to more details. NFIB will remain engaged to ensure that tax reform starts with small business. Small businesses need meaningful reform that lowers their tax bill, allows them to invest in their business, create jobs, and grow the economy.”
National Retail Federation President and CEO Matthew Shay: “We look forward to hearing more details but this is a very positive step forward to achieving the kind of comprehensive tax reform that is needed to keep our nation’s economy competitive in the global environment. This plan would provide much-needed relief for corporations, small businesses and middle-class individuals alike, and would help draw foreign capital and investment to the United States. This is the framework we need to unlock job creation and economic growth. As an industry that pays at or close to the full 35 percent federal corporate tax rate, our focus is on eliminating tax breaks that benefit only a few industries and using the money saved to lower rates for all businesses. If you get the rate low enough, that would benefit everyone equally and fairly without the need for special treatment that favors one sector of the economy over another. Economic studies show that this type of reform will increase investment in the United States, increase wages and help our customers. That is our No. 1 goal, and it has been for years. Retailers are affected by both the business and individual sides of tax reform. The relief provided to corporations and small business ‘pass-throughs’ in this plan would help ease retailers’ tax burden and free up capital for investment, job growth, higher wages and innovation. But just as importantly, the middle-class relief provided here means consumers would have more money in their pockets when they come into our stores, and that would mean a boost for the consumer spending that drives both retail sales and two-thirds of our nation’s economy.”
Associated Builders and Contractors: “The tax framework released today marks a promising step forward for the first genuine reform of the tax code in a generation. Associated Builders and Contractors is encouraged by the proposal, and we strongly support the tax reform process moving forward. The framework and its targets go a long way toward advancing ABC’s tax policy goals. Construction historically faces the highest effective tax burden of any industry. The vast majority of construction firms are small and family-owned businesses that pay taxes at individual rates. The equivalent rate reduction envisioned in the framework for businesses on both sides of the code, paired with a broader tax base, moves toward ABC’s vision of fair treatment for all companies regardless of size, structure or sector. While the framework is an important first step, there is much work to be done. Before this process can move forward, Congress must pass a budget resolution that instructs tax writers to turn this framework into legislative language. With so much left to the discretion of the committees, there is little time to spare. We look forward to working with both chambers to build on the structure of this framework in a way that promotes simplicity, fairness and economic growth.”
Business Roundtable President And CEO Joshua Bolten: “The ‘Big Six’ framework, including a globally competitive rate and a shift toward a territorial system, is an important step in the process and we need to keep the momentum building.”
Financial Services Roundtable CEO Tim Pawlenty: “The Big Six tax announcement reflects a commitment to delivering a simpler and fairer tax code that grows the economy and benefits more hardworking Americans…. As Congress puts pen to paper this fall, the financial industry looks forward to continuing to be a constructive partner in passing reform.”
JPMorgan Chase & Co. Chairman And CEO Jamie Dimon: “Today’s announcement is an encouraging step forward in our shared goal of a tax system that delivers higher economic growth, job creation and wages that our country desperately needs. Congress must act with urgency on this framework and move the legislative process forward. Congress and the Administration are committed to tax reform, and business leaders are equally committed to pushing beyond our parochial interests to achieve a result that benefits the economy and American workers.”
EY Global Chairman And CEO Mark Weinberger: “The unified framework provides the necessary elements to create jobs and growth: competitive tax rates for businesses, a more competitive international tax system that would not punish businesses for bringing foreign earnings to the United States and middle class tax relief…. This will provide greater certainty and allow businesses to increase investment in workers and capital equipment and grow the economy.”
Securities Industry and Financial Markets Association (SIFMA) President and CEO Kenneth Bentsen: “SIFMA strongly supports tax reform and we are encouraged that the Framework announced today is another step toward a fair and competitive result for our members and their clients. We agree with the authors of today’s Framework that we need to modernize the Internal Revenue Code to enhance economic growth and improve the standard of living for all Americans. SIFMA remains committed to promoting policies that grow the U.S. economy and preserve our robust capital markets.”
AT&T Senior Executive Vice President and Chief Financial Officer John Stephens: “The tax framework released today is a big step toward meaningful reform that would encourage more investment and job creation in the United States. A significantly lower corporate tax rate will help U.S. companies compete with companies from other industrialized countries and spur long-term economic growth. For AT&T, we would step up our investments in the technology and next-generation networks that are engines of our modern economy. We look forward to working with Congress as they take the necessary steps to move quickly through the process to reform the tax code.”
WTAS: Praise Continues to Roll in for President Trump’s Unified Framework for Tax Reform
The Wall Street Journal Editorial Board: “Overall, the GOP has produced a tax-reform outline that can revitalize a weak economic expansion, lead to more new business creation, enhance worker productivity, and lift wages.”
New York Post Editorial Board: “The US economy needs strong medicine to break out of the slow-growth ‘new normal’ it’s been trapped in since the Great Recession. That has left Wall Street and the rich doing fine, but Main Street and everyone else struggling. The Big Six — Trump’s top two economic advisers, the House and Senate leaders and the two chairmen of Congress’ tax-writing committees — have now outlined just the medicine. It includes corporate-tax reform to finally make US rates competitive with those of other developed nations, along with changes for other businesses to put them on a fair footing with corporations, plus revision of the personal income-tax code to put more money in middle-class pockets. Simplification of the code will also make it less maddening to actually do your taxes as well as ending some blatant inequalities.”
The Washington Times Editorial Board: “The details of the plan are almost all positive and pro-growth. This is as much a jobs bill as a tax plan.”
Washington Examiner Editorial Board: “A simpler corporate tax code doesn’t just mean businesses would spend less time on paperwork and filing taxes, it means they can spend more time on productive endeavors, such as more innovation and product improvement. It also means Big Business won’t be able simply to hire the best tax accountants to beat the little guy. They’ll actually have to compete on the value of their goods and services.”
Investor’s Business Daily Editorial Board: “Among the most potent provisions in the GOP tax reform package unveiled Wednesday by President Trump are the big cuts in taxes on corporations and small businesses…. By supporting corporate and small-business tax cuts that will boost investment, create more and better jobs, and raise average workers’ incomes, Americans won’t just be cutting taxes for businesses. They’ll be cutting their own taxes, too.”
National Review Editorial Board: “Republicans’ framework for tax reform is chock-full of good ideas about modernizing the taxation of business.”
PRIVATE SECTOR LEADERS, COMMENTATORS, AND ADVOCACY GROUPS
Eli Lilly & Co. Chairman And CEO David A. Ricks: “When President Trump came to my company’s hometown of Indianapolis on Wednesday to lay out his tax-reform plan, it was welcome news. The proposal, developed by the White House and congressional Republicans, would cut the corporate tax rate to 20%, put in place a territorial system, and maintain tax credits for research and development. This would go a long way toward leveling the playing field for American workers and businesses competing against their foreign peers.”
Best Buy Chairman and CEO Hubert Joly: “I am encouraged by the latest efforts by the Administration and Congressional leaders to advance corporate tax reform and the progress that has been made in recent months. For the first time in decades, the country has a real opportunity to achieve significant tax reform which will allow companies to reinvest in jobs, grow the economy and create opportunities for all Americans. We are ready to help pass tax reform this year.”
Job Creators Network President and CEO Alfredo Ortiz: “While many details still need to be filled in, this is a crucial and positive step in the right direction. Make no mistake: the recent progress in the campaign for tax relief should bring optimism to the 29 million small business owners and the roughly 56 million people that depend on them for their livelihoods.”
Mercatus Center Senior Research Fellow Veronique de Rugy: “There is a lot to like in this plan: It reforms the corporate income tax system, it reduces the tax rate for small businesses and S-corps, it simplifies the tax brackets on the individual side of the code from seven to three, it eliminates some of the tax exemptions which are both a handout to special interests and make the tax code complex and unfair. The bottom line is that, if implemented, it would be an improvement of our tax code.”
The Heartland Institute President Tim Huelskamp: “President Donald Trump and Republicans are showing what strong leadership looks like by proposing this forward-looking tax plan. These tax reforms would help Americans get back to work and assist in draining the Washington, DC swamp.”
The Heritage Foundation Policy Analyst Adam Michel: “Bold tax reform got a big boost on Wednesday. Leaders in the House, the Senate, and the White House have all agreed on a tax outline, meaning a true update to our broken tax system could be imminent…. Most simply, this will allow all Americans to keep more of their hard-earned money in their pockets. Importantly, the plan goes a long way toward fixing our business tax system, which makes it hard for U.S. businesses to invest in new equipment and new factories. Slow investment caused by our high and distortionary taxes has limited American job creation and slowed wage growth.”
Independent Women’s Forum Senior Policy Analyst Patrice Onwuka: “The White House tax plan is a win for women…. Women will benefit as workers, keeping more of their earnings. Lowering the corporate tax rate will make it more likely that workers might finally see a real raise. And female business owners can look forward to greater growth and the opportunity to expand as they become more competitive with international businesses. We may experience even faster growth in women-owned businesses, which are already being established 1.5 times faster the national average. This tax plan would be a big step in the right direction for women and our country.”
Tea Party Patriots President Jenny Beth Martin: “Tea Party Patriots and our network of grassroots activists are excited by the framework President Trump and Republicans in Congress have released for top-to-bottom tax reform. After eight years of a stagnant economy under former President Obama that left too many American families behind, we are confident that fundamental tax reform will help Americans keep more of their hard-earned money, and will also foster an economic environment that will lead to greater job creation and prosperity for all Americans. The framework released by the White House and congressional Republicans will establish a tax system for individuals that is simpler, flatter and fairer, helping to lessen not only the enormous tax burden on Americans, but will also greatly reduce the outrageous compliance costs associated with today’s overly complex code.”
Fox News Contributor Bradley Blakeman: “President Trump’s tax plan is smart and timely. What matters is not how well Wall Street is doing. What matters t is how well Main Street is doing. These reforms will be a tremendous boost to the middle class. It is time for a major overhaul of the U.S. tax code, tax rates, deductions and loopholes. What our economy needs more than anything is fairness and certainty. This plan will bring that.”
MEMBERS OF CONGRESS
Sen. Ted Cruz (R-TX): “The priorities laid out today by Congressional leadership and the White House to reform our country’s broken, burdensome tax code are incredibly encouraging. There are numerous positive elements in the current outline for which I have long advocated, from lowering and flattening rates for individuals and businesses, to eliminating the death tax and the alternative minimum tax, to allowing for expensing of capital investments, to making reforms that will bring American jobs and companies back to the United States from overseas.”
Sen. Rob Portman (R-OH): “Our current tax code encourages U.S. companies to take jobs and investments overseas. The United States is falling behind while other countries are attracting more investment and more jobs at our expense. That is unacceptable. Our reform effort will encourage more investment in America, bring jobs home, and give American workers a competitive advantage…. I’ve been very pleased to see President Trump talking about the urgency of this issue around the country, including again today in Indiana. I’m optimistic about the prospects for getting tax reform signed into law this year. Working together, we can simplify our tax code in a common-sense way to increase investment here in America, create more jobs & increase wages for American workers.”
Sen. Pat Toomey (R-PA): “I see this as an amazing opportunity and responsibility. Enacting legislation consistent with this framework will allow us to achieve the growth that we’ve been waiting so long to achieve. There’s nothing normal about two percent growth for the United States of America. We’re capable of so much more. When we get this right, I am confident that we will achieve robust growth. What that means for the hardworking families that I represent all across Pennsylvania is a direct pay raise when we lower their direct tax burden. It also means an indirect pay raise as more jobs are created and more businesses are launched. Upward pressure on wages allows people to have a higher standard of living.”
Rep. Brian Babin (R-TX): “This framework – supported by both the White House and leaders in Congress – marks an important first step in delivering pro-growth tax reform and relief to the American people. Having grown to over 70,000 pages long, the current tax code is too costly, complex and burdensome. It is time we simplify our broken tax code and allow Americans to keep more of their hard-earned money. This framework provides an important path forward that will lead to bigger paychecks, more jobs and greater economic freedom for middle class Americans. I look forward to working with my colleagues in achieving this historic opportunity to create a fairer, simpler, less burdensome tax code for the American people.”
Rep. Steve Pearce (R-NM): “Small businesses are the cornerstone and families are the backbone of our state. For too long, our nation’s complex, antiquated, and one-sided tax code has caused stress, undue burden, and hard-earned money to ensure compliance. This is simply wrong, and must change not only for the success of our communities, but for the success of New Mexico and the nation. The tax framework released today has the potential to finally bring the relief that has long been needed. Done right, it will strengthen the middle-class and working-class, ease the burden and stress on families, make small businesses a priority, and put America back on the competitive global playing field.”
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