Speaking before a crowd in the White House Grand Foyer, President Donald J. Trump laid out—in concrete terms—what tax cuts would mean for the typical American household.
Here is the President’s case by the numbers:
- $2,000+: What the typical family of four earning $75,000 would see in income tax cuts, slashing its tax bill in half
- $4,000: How much incomes are expected to rise across the board as a result of tax cuts on U.S. businesses
- 3 percent: The level of growth the U.S. economy has already reached in 2017—and tax reform would take it even further
Middle-income families will benefit directly from tax cuts with an expanded standard deduction, an increased child tax credit, and lower rates across the board. President Trump is committed to reform that ensures all Americans are treated fairly and able to keep more of their hard-earned money.
The Republican tax plan helps working families in another important way. Small businesses are a primary driver of the American economy; when they succeed, so does the country. There are nearly 30 million small businesses in the United States, employing 57.9 million American workers among them.
With tax reform, more than 99 percent of these small businesses will face the lowest top marginal tax rate in more than 80 years.
Tax reform will increase investment in the American economy and in U.S. workers, leading to higher growth, higher wages, and more jobs. A 3 to 5 percent increase in GDP growth over 10 years, as the President’s Council of Economic Advisers predicts, could represent as much as $1.2 trillion in economic output.
The bottom line: The current tax code is a burden on American taxpayers and harmful to job-creators. It has grown so out of control in length and complexity that many Americans must rely on professional help to file even the simplest return. Our outdated code also makes U.S. businesses uncompetitive and incentivizes companies to move abroad or offshore our country’s jobs.
American workers deserve better. Now is the moment to stand up for them.
Remarks by President Trump and American Taxpayers on Tax Reform
3:02 P.M. EST
THE PRESIDENT: Thank you very much. Thank you, everyone. Please.
We’re joined today by college students, young entrepreneurs, families, workers, mothers, and fathers from all over our nation. You make this country run. It’s an honor to be with you, and it’s an honor to have you at the White House. And thank you all for being here — really fantastic. Thank you. Great people. (Applause.)
As a candidate, I promised we would pass a massive tax cut for the everyday, working American families who are the backbone and the heartbeat of our country.
Now we’re just days away — I hope, I hope — you know what that means, right — from keeping that promise and delivering a truly amazing victory for American families. We want to give you, the American people, a giant tax cut for Christmas. And when I say giant, I mean giant. (Applause.)
As we speak, Congress has reached an agreement on tax legislation that will deliver more jobs, higher wages, and massive tax relief for American families and for American companies.
The typical family of four earning $75,000 will see an income tax cut of more than $2,000, slashing their tax bill in half. It’s going to be a lot of money. You’re going to have an extra $2,000.
But there are many more things than that. Our plan expands the child tax credit for working families. You’ll hear the numbers very soon, but they’re even larger than anticipated.
It nearly doubles the amount of income taxed at the rate of zero. I don’t know if any of you are paying zero. I hope you’re not; I hope you’re paying above that. But a lot of people who are having it a little bit tough are going to be paying zero.
It closes special interest loopholes; it lowers tax rates for families; and our plan also cuts taxes on businesses, which is expected to raise income by an average of more than $4,000. So your income goes up. It’s like having a $4,000 increase, which isn’t bad, which isn’t bad.
a lot of money to spend. A lot of jobs are going to be created with the money that you spend — very special. And it makes America competitive again so we can bring back that simple but beautiful phrase, you’ve heard it before: Made in the USA. Right? I don’t know if they’ve heard it, but you’ve heard it. (Applause.)
Our current tax code is burdensome, complex, and profoundly unfair. It has exported our jobs, closed our factories, and left millions of parents worried that their children might be the first generation to have less opportunity than the last. Our factories have left. So many of them, gone. But they’re all coming back. And you see it, even before we do this, that they’re starting to come back. Our country is starting to do really well again, and as a country we’re being respected again. We’re being respected again.
I’m here today to tell you that we will never let bad things happen, with respect to the economy of our country. We’re not going to lose our businesses again like has happened over the last number of decades. America is coming back bigger and better and stronger than ever before. Okay? They’ll see it, and they’re going to see the result.
America isn’t content just by getting by. America is about getting ahead, about finding the best in ourselves and in each other. We are reclaiming our destinies as Americans, a nation that thinks big, dreams bigger, and always reaches for the stars. We didn’t become great through massive taxation and Washington regulation. And, by the way, we are cutting regulation at a rate never seen before in the history of our country.
We became great because our people, our families — and because of our freedom. We became great because of our drive to find the next horizon, to unlock the next mystery, and to begin the next adventure. You know what I’m talking about. And that’s who we are: a nation of strivers and builders and dreamers and doers, people who treasure their independence and don’t know how to quit. Never quit. Never, ever give up — never, ever.
I say that, also, to our great Cabinet. And they’ve done a great job. A lot of things have happened. Nobody’s done the job that we’ve done.
When government loosens its grip, there is no summit we cannot reach. Our tax cuts will break down, and they’ll break it down fast — all forms of government, and all forms of government barriers — and breathe new life into the American economy. They will unleash the American worker; they will tear down the restraints on discovery, innovation, and creation; and they will restore the hopes and dreams of the American family.
Millions of middle-class families will win under our plan. And today we are honored to hear from a few of those wonderful and truly great families.
Bryant and Ashley Glick — right — are from Lancaster County, Pennsylvania. I know it well. They have two beautiful children with a third on the way. Bryant manages a farm equipment store. Ashley works in healthcare. This year, they were in the 15-percent tax bracket.
Under our plan, they will drop to the 12-percent bracket. That’s a big drop. Instead of itemizing their deductions, they will be able to file their taxes on a single, little, beautiful sheet of paper. That’s good. That’s good. (Applause.) And instead of paying $2,600 in income taxes, they will get it down to $2,000. They’ll save at least $600 and probably more than that.
Bryant, Ashley, how about saying a few words? You want to? Come on. Thank you very much.
MR. GLICK: Well, thank you, Mr. President. It’s an honor to be here. On behalf of the good people of Lancaster County; my family; and, specifically, my grandmother, Linda Martin, well done. Many of your predecessors promised that this reform was coming, but you did it. We are greatly excited about this.
With the tax savings that we are going to see, we are going to put that money into home renovations. And I’m excited that you were the one that got it over the finish line. Thank you, Mr. President. (Applause.)
THE PRESIDENT: The Kovacs family also joins us today from Ohio. That’s a great state. A lot of success in Ohio. (Laughter.) Adam is a veteran who works in telecommunications, Lindsay works in administration admissions at a university, and they have two beautiful children.
This year, they’re currently in the 25-percent bracket and pay nearly $14,000 in taxes. Our plan gives them their time back because they won’t have to itemize, and it gives them nearly one-third of their money back — more than $3,500 for one year.
I’d like to invite the Kovacs to explain what our tax cuts will mean for them. They’ve studied it very closely. These are very smart, sharp people. They know exactly what we’re doing here, and they like it. Come on up. Thank you. (Applause.)
MR. KOVACS: Thank you, Mr. President. It is truly an honor that you invited the Kovacs family to the White House today. This is going to be great for our family. We have home renovations that we want to take care of, and hopefully save for our two children to go to college.
Thank you so much, Mr. President. (Applause.)
THE PRESIDENT: The Giampolo family is from Polk County, Iowa. Anthony is a police officer and Aubyn is a 911 emergency dispatcher. When they’re not at work protecting and serving their fellow citizens, their hands are full with four wonderful children.
This year, they were in the 25-percent bracket, their itemized deductions, and they’ve done everything they can. They paid more than $19,000 in taxes — thank you very much, by the way; that’s a lot of money. (Laughter.) Under our plan, they will file on a single page and save $2,700. Anthony, Aubyn, maybe you’d like to say a few words? Come on in. (Applause.)
MR. GIAMPOLO: I just want to thank President Trump. Education is very important to our family. Under this bill, our family will be able to save a lot of money. We have a lot of people going to school. My wife and I are both in graduate school, finishing up, and we still got three other — four other kids to get through college. So, it will help out a lot. (Laughter and applause.)
THE PRESIDENT: Leon and Maria Benjamin are pastors of New Life Harvest Church — and it’s a beautiful church in Richmond, Virginia — and they have three wonderful children.
Under our plan, they will get a larger tax refund to help them pay their bills. They’ll receive a tax refund, this year, of $3,000. Leon and Maria, I would love you to discuss your middle-class tax cut a little bit with the millions of people watching right now on television. (Laughter.) You do very well, and we’re very proud of you. And it is indeed a beautiful church. I got to see a very, very nice picture. We’ll have to get there someday soon. Thank you. Come on in, please, please. (Applause.)
MR. BENJAMIN: (Laughter.) To God be the glory. Thank you, President Trump, for inviting us here. On behalf of the Benjamin family and of course, Richmond, Virginia, we represent a cadre of many families across the nation. African American families, urban communities, and families all across need this now. And it’s time for a change, and it’s time that we recognize that our President is making good on his promises. (Applause.) Thank you, Mr. President. God bless you, and we’ll continue to keep praying for you and your team as you move forward and forge ahead with this new future in America. God bless you. (Applause.)
THE PRESIDENT: He can be my minister anytime. (Laughter.)
The Howard family lives in Tenino, Washington. Issac owns an espresso machine service company, and Emily takes care of their four beautiful children. They are currently in the 15-percent bracket and pay $2,500 in taxes. Our plan will totally wipe out their tax bill, and they might even get a refund of substantially more than $700. I’d like to introduce them. Come on up. (Applause.)
MRS. HOWARD: I’m going to speak for us today. (Laughter.) We are absolutely blessed to be here, so thank you, Mr. President. It’s our joy to stand before you guys. And what this means to us as a family is that we will be able to pour out into our community — whatever that looks like — giving away to families that are in need, or setting them up for success in any way that — whatever God has planned for our family.
I think that that is our goal, and that we are blessed to have such an amazing President — and what a good steward he is of our country.
So thank you, Mr. President. (Applause.)
THE PRESIDENT: Well, thank you all. It’s critically important for Congress to quickly pass these historic tax cuts, and that’s going to take place, I think, even before the media — I used the word “media.” Did you notice? As opposed to “fake news media” — I don’t say. (Laughter.) Because today is a very important day. We want everybody to be covered very accurately.
So I’m excited to announce that if Congress sends me a bill before Christmas, the IRS — this is just out, this is breaking news — has just confirmed that Americans will see lower taxes and bigger paychecks beginning in February, just two short months from now. (Applause.) Just got that. We just got that.
Fifty-five years ago this week, President John F. Kennedy, a Democrat, launched a historic effort to pass sweeping top-to-bottom tax cuts. A half a century later, we’re reminded that lowering taxes is neither a Republican or Democrat idea, but an American principle and an American idea.
The goal of my administration is for every American to know the dignity of work, the pride of a paycheck, and the satisfaction of a job well done. We want people to love waking up in the morning and going to work — just with that incredible enthusiasm that we have in this country. And that’s what we’re going to be doing, and that’s what’s going to be happening.
Today we stand on the verge of a new economic miracle. Our economy has already surged to 3 percent growth — far ahead of schedule, by the way — far, far ahead — in each of the last two quarters. And if we didn’t have the hurricanes, we could have hit four last quarter. Four — a number that was unthinkable two years ago when I started the campaign, and even my first month in office — that was an unthinkable number. And I’ll tell you what, it’s going to go higher than that.
We’ve created 2.2 million jobs since the election. Unemployment is at a 17-year low. The unemployment rate in the manufacturing business is the lowest in recorded history. Consumer confidence is a 17-point high. Pensions and retirement accounts are soaring as the stock market hits 85 new record highs since the election. How are we doing? Are we doing okay? Not bad, right? (Applause.)
And if Congress sends me a tax reform, this is only a small beginning to the incredible things that our people will achieve over a very short period of time, and the tremendous heights that we will reach economically and so many other ways in our country.
Every day, as this victory draws closer — I mean, we are so close, right now. So close. In fact, almost — I don’t want to talk about it. Maybe we shouldn’t talk about it. (Laughter.)
The cynical voices that opposed tax cuts grow smaller and weaker, and the American people grow stronger. I heard one of our opponents stand up the other day and say, this is for the rich. They had no idea. They didn’t even see the final bill. I didn’t see the final bill. This is for the people of middle-income. This is for companies that are going to create jobs. This is for very, very special people, the great people of America.
Everyday, hardworking Americans know that the future of this nation will never belong to those who say you can’t; it will always belong to the American people who will say we will.
belongs to people like the Glicks, the Kovacs, the Giampolos, the Benjamins, the Howards, and the millions of Americans just like them across our nation, who pour out their hearts and souls every single day to take care of their families and the country they love and that we love.
We are going to have a country that celebrates you again — hardworking, great people. You’re being celebrated again. Remember that. Because you were a little bit forgotten. We had called it “the forgotten people.” Somebody else called me and everybody else the “deplorables.” Have you ever heard that term? Right? We’re proud to be the deplorables, and we’re doing well.
going to make our tax system work for you again. We’re going to make our economy work for you again. And we are going to make the American Dream — and that’s the real dream — that will be the dream that you want for your children and your grandchildren once again.
But we need your help to get Congress across that finish line. We’ll have very little Democrat support, probably none, and that’s purely for political reasons. They like it a lot, and they can’t say it. They don’t like what’s happening. But they can’t say it. Some day we have to come together and do bipartisan, and hopefully it can happen soon. Right? (Applause.)
If you make your voices heard, this moment will be forever remembered as a great new beginning, the dawn of a brilliant American future shining with patriotism, prosperity, and pride.
With your help, we will bring back our jobs; we will bring back our wealth as a country; and, for every citizen across this beautiful land, we will bring back our great American Dreams.
you and God bless you all. Thank you very much. Thank you. (Applause.)
3:22 P.M. EST
Remarks by President Trump at Lunch with Bicameral Tax Conferees
12:40 P.M. EST
THE PRESIDENT: Well, thank you very much. We appreciate it. And I’ll be also speaking, at three o’clock today, a little bit more about what’s happening with this incredible journey and what we’re doing with regard to bringing down taxes — the largest tax cut ever.
But I appreciate you being here today. I want to thank the incredible members of the House and the Senate, who have been working so hard. We’re very, very close to a historic legislative victory, the likes of which rarely has this country seen.
I think I can say, Kevin and Orrin, that we’re getting very close. And I know a lot of the folks that we’d like to have here — we said, if you have your choice, stay back and get it done. Right? They’re all working and negotiating some final points, but we’re very, very close.
This bill is vital to the American people for many reasons. First of all, it’s going to have a tax cut, the likes of which we haven’t seen for, not only business but for the working families of our country. It’s really a tax cut based on jobs and also very good for companies, which also means jobs.
The typical family of four earning $75,000 will see an income tax cut of $2,000. So that’s $2,000 in their pocket, additional to spend on whatever they want to spend, or they could save the money also. You do have a lot of families in the old days — they saved money. But they will be saving it in many cases.
Second, the bill is going to cut taxes for American businesses — both big ones and small ones — so that they can grow, hire, and compete all around the world. Right now they’re paying 35 percent, and that’s the highest in the industrialized world — in many cases, by far. And we’ll be bringing that down to a number that will be extremely impressive to a lot of people. I don’t think I’ll give them the surprise yet, Kevin, right?
REPRESENTATIVE BRADY: Yes, sir.
THE PRESIDENT: Maybe I’ll hold the surprise. But I think you’ll be very happy with it. I think the businesses will be very happy. And we’ll be able to compete all over the world.
Third, we’re simplifying our broken system. It’s so complicated that nobody can figure it out. Tax returns that are very, very big and large — and they have to go out and hire companies to do them. So we’re fixing the system.
Finally, the plan is going to bring trillions of dollars back into the United States, money that’s offshore. And you’ve been hearing me say $2.5 trillion for years. Well, 2.5 has grown, and it’s going to be a lot more than that — probably $4 trillion. It could be even higher than that. We don’t even know. It’s so much money, we don’t even know how much it is.
But you look at the great companies — Apple and so many others. They have billions of dollars overseas that they want to bring back. Now they’re going to be able to bring it back, and we’ll be spending that money, and they’ll be spending that money right here. And it will be jobs and lots of other good things.
While the media has focused on the differences between the House and the Senate bills, I can only tell you that we have very, very talented representatives right here. And I think I can say, Orrin, that we’re very close. Right?
SENATOR HATCH: We are.
THE PRESIDENT: We are very, very close.
SENATOR HATCH: We’ll get it done.
THE PRESIDENT: And I want to thank Senator Orrin Hatch. He’s been incredible. And Kevin Brady — incredible. You guys have been just really, really amazing. Although I shouldn’t say that until we sign. (Laughter.) We’ve been there too many times. Let’s count the vote first. Right? (Laughter.)
But I want to thank my whole team, Gary and Steve and everybody. The whole team has been really something special. And, Diane, thank you very much for everything. We appreciate it.
So we’re very close to getting it done. We’re very close to voting. And our economy, as you know, has surged from where it is when I took it over. We were having an economy that was going in the wrong direction. They can say all they want about the last administration, or even administrations. This country was going in the wrong direction, from the economic standpoint. And you saw where it was — one of the early times we heard about 1 percent and 1.2 percent, and you were going down.
401(k)s right now — I met last week in New York City with a very, very fine group of policemen. And they were all so happy about their 401(k)s. They feel like they’re geniuses because, in one case, he said, I’m up 39 percent.
I see all the guys carrying the booms are smiling. Are you up, too? Yes, he is. Oh, look at him. (Laughter.) He’s got that boom. Let’s see. He’s got the one that’s the highest and the closest. So he’s a good boomer. (Laughter.) But he’s got a big smile on his face, right? Thank you. Thanks very much.
You know, usually with the press — they won’t admit it — but he does because he’s beyond the press. (Laughter.) But I want to — I just want to say that people are up 30 percent, 40 percent, 50 percent, depending on what’s in there, and they are very, very happy.
So we think we’re going to grow that a lot more. We really think the economy has a long way to grow and it needs the tax cut. It needs it desperately. And all that money is going to be spent on expanding businesses.
We have so many different things in this bill that are going to create jobs. And for me, this is a bill — very simple — it’s a massive cut for the middle class and it’s about jobs. And the jobs are really defined by the companies. The companies are going to be expanding and they’re going to be creating jobs.
You know, in education, we’re talking choice. Well, in jobs, we’re going to be talking choice, too, because, right now, people go for one job and they don’t have many options. They’re going to have plenty of options. They’re going to look at five, six, seven jobs, and they’re going to pick the one they want. And wages are starting to go up. First time in many years, wages now are actually starting to go up.
So we have a lot of great things happening, but what really is something that, I think, will really be the capper is going to be the massive tax cuts that we’re planning that hopefully, within a very short period of time, we’ll have signed into law.
It will be bigger than anything ever done in this country. Bigger than the Reagan cuts, bigger than any cuts, and it will also be reform. And there are also some other things in that bill that are very, very big that are somewhat unrelated, but ultimately I think it’s all related.
So I just want to thank everybody at the table — Mike, everybody at the table — for being here. And I want to have a very fast lunch so you can go immediately back and finish. (Laughter.) I actually feel very guilty having you here. So I want you to go back immediately and finish it up.
Thank you very much. It’s going to be something very, very special. Thank you all. Thank you.
Q Mr. President, will you support the 21 percent corporate tax rate? And would you sign the current 21 percent?
THE PRESIDENT: I would — yeah, I would. We’re going to see where it ends up, but I certainly — it’s at 35 right now, so if it got down to 21, I would certainly be — I would be thrilled. I would be thrilled.
We’ll see. We have haven’t set that final figure yet, but certainly 21 is a very great difference.
Q Mr. President, after Alabama, is it crucial to get a vote in the next week?
THE PRESIDENT: I think it’s very important for the country to get a vote next week. Not because we lost a seat. Wish we would have gotten the seat. A lot of Republicans feel differently; they’re very happy with the way it turned out.
But I would have — as the leader of the party, I would have liked to have had the seat. I want to endorse the people that are running.
But, I will tell you that it’s — to me, it’s very, very — just, very important to get this vote. Not because of that, but because of the — and I don’t know what the vote will be. I don’t know what exactly the final — we have a margin now of two, plus our great Vice President.
So I really — I think we’re going to get the vote, but I will say, we have to get more senators and more congressmen that are Republicans elected in ’18. And then you’ll see a lot more of what we’re doing right now.
Q How can that loss affect your agenda going forward?
THE PRESIDENT: I don’t think it’s going to affect it. I think we’re doing a lot. This is the biggest thing that we’ve worked on. This also has to do with other subjects.
As you know, I won’t mention the subject, but there are some subjects in here that are very vital to the — beyond — I’m talking about beyond pure tax and tax cuts.
But I’m just very excited by it. This is one of the biggest pieces of legislation ever signed by this country. And I can tell you that everybody around this table, we are very, very excited about it. And thank you all very much. Appreciate it.
12:49 P.M. EST
Alfredo Ortiz: “Tax Bill Is Christmas Present Americans Have Been Waiting For”
Tax Bill Is Christmas Present Americans Have Been Waiting For
December 13, 2017
Pending tax cut legislation will eliminate the federal income tax burden on the average American family earning $59,000 a year. It will halve the tax bill for the average family earning $75,000. And it will allow the overwhelming majority of small businesses to protect nearly one-quarter of their income from taxes.
That’s the bottom line of the tax bill that needs to be said up front.
Given the critical media coverage of the bill, these benefits have largely gone overlooked. Rather than reporting on its provisions to double the standard deduction, double the child tax credit, and eliminate the 15 percent tax bracket in favor of a vastly expanded 12 percent rate, media coverage has claimed the bill is a gift to the rich. Rather than reporting on the new 23 percent tax deduction for small businesses earning less than $500,000 a year, media coverage has claimed the bill is a budget buster.
That’s a shame because these benefits would bring long overdue relief to hardworking taxpayers who have borne the brunt of the slow growth Obama economy from which the country is finally emerging. Median wages were essentially flat between 2009 and 2016, while economic growth sputtered along at roughly 2 percent – both of which the tax bill would also meaningfully address.
Ordinary employees will not only see an immediate raise in their paycheck due to less federal tax withholding, but many will also receive raises or new job opportunities because small businesses will have more funds at their disposal.
Just as tax cuts would increase paychecks, they’d also jump-start the country’s local economies, which have largely been passed over by the economic recovery. More money on Main Street and less sent off to Washington, D.C., would stimulate local investment, consumption, and job creation.
Good for ordinary Americans. Good for small businesses. Good for local economies. This tax bill is the Christmas gift they’ve been waiting for. Legislators must pass it now.
State and Local Leaders Push for Tax Reform
Reforming our outdated, complex, and overly burdensome tax code and cutting taxes for hardworking families has the critical support of State and local officials across the country. As Congress works to have a bill on President Donald J. Trump’s desk before the end of the year, a majority of governors have indicated their support for tax reform and 21 governors recently signed a letter to congressional leadership supporting the effort. The governors urge the two chambers to swiftly pass meaningful tax reform legislation, writing, “We’ve proven in our states that you can cut taxes, create jobs, and generate budget surpluses all at the same time. If it can work in our states, it can work for America.”
Governor Doug Ducey (R, AZ): “Make no mistake, special interests will fight like crazy to keep their loopholes and special treatment. But government shouldn’t be in the business of picking winners and losers. We need to set a rate for businesses that’s fair, close the loopholes and make our tax code simpler and more equitable for everyone.”
Governor Paul LePage (R, ME): “From his long and successful career in business, President Trump knows firsthand that a burdensome tax code doesn’t create jobs, it kills them. When he outlined his vision for tax reform last week, I was pleased to see it will help Maine families keep more of their hard-earned paychecks.”
Governor Chris Sununu (R, NH): “America’s business tax rates are probably the most self-destructive feature of the current system. By reducing the highest business tax rate in the developed world, something that we have shown, right here in New Hampshire, is a huge boost to competitiveness that creates new jobs and higher wages. And finally repealing the death tax is long overdue.”
Governor Kim Reynolds (R, IA): “Iowa families are burdened with high income taxes that lower their take-home pay and business tax rates that limit economic opportunities and wage increases. Because up to 75 percent of the burden of business tax rates falls on workers, paychecks are smaller and raises are all too rare. When working families should be dedicating money to savings, college and retirement accounts, they’re sending too much out of their hard-earned paychecks to Washington, D.C., instead.”
Governor Rick Snyder (R, MI): “It has been more than 30 years since Washington, D.C. passed major tax reform. Since then, the tax code has become a 74,000-page Goliath puzzling American families and businesses. We need reform now to ensure Americans receive much-needed tax relief, provide a boost to our nation’s economic growth and allow millions of workers to keep more of their hard-earned money.”
Governor Phil Bryant (R, MS): “With a level playing field, American businesses and workers will once again dominate a global economy. I am grateful the president and the Republican congressional leadership are committed to making that happen. The framework deserves to become legislation and should pass Congress. This is a once-in-a-lifetime opportunity that we cannot afford to miss.”
Governor Henry McMaster (R, SC): “For too long, our tax code has been overcomplicated and uncompetitive, placing an outsized burden on business while perplexing the average American. This is a rare opportunity to fix a broken system, putting money back in taxpayers’ pockets and encouraging more companies to invest, expand, hire and profit. It’s a win for South Carolina.”
Governor Jim Justice (R, WV): “President Trump is continuing to keep his promise to Americans to help grow our country by providing our average families with significant tax relief.”
Governor Matt Bevin (R, KY): “Recently, our national economy has been rebounding following a long period of tepid recovery. That makes this the perfect time to tackle federal tax reform and I applaud President Trump for his leadership on this issue.”
Governor Asa Hutchinson (R, AR): “Washington’s system of taxation takes too much money, is too complicated and hampers economic growth. The result is a system that places too heavy a burden on our businesses and citizens. It places our country at a disadvantage in an increasingly competitive and mobile world.”
Governor Eric Greitens (R, MO): “For too long, our tax system has been complex, corrupt, and high. We need a system that is simple, fair, and low. In Missouri, we’re trying to do our part at the state level—but the biggest changes that small business owners need begin at the federal level. The President understands this. We were pleased that he chose Springfield, Missouri, to announce his effort on tax reform. And we were glad to host him in St. Charles, Missouri, on Wednesday, where he again sent a message to Congress to get tax reform legislation done and delivered.”
Governor Gary Herbert (R, UT): “If we want businesses to come to the United States and stay, we have to create the right conditions. I commend Congressional leaders for their efforts to lower the U.S. corporate tax rate and move to a system that will encourage companies to bring their profits to the United States and invest in the American economy. Our corporate rate—highest in the industrialized world—and our treatment of overseas earnings are glaring exceptions to an otherwise business friendly environment. Lower taxes and a simpler tax code means faster economic growth, more jobs, and higher wages. There are still important differences to be ironed out, but it’s refreshing to see Washington tackling something difficult but necessary. Let’s hope it’s the beginning of a new trend.”
Governor Matthew Mead (R, WY): “Eliminating onerous restrictions and regulations would allow businesses to afford to pay employees higher wages and reinvest in their own growth.”
Governor Mary Fallin (R, OK): “Our nation’s tax code, on the other hand, is outdated and in desperate need of reform. Due to incomprehensible regulations and untold pages of forms and instructions, nearly 90% of taxpayers need external help to simply pay their taxes.”
Governor Susana Martinez (R, NM): “New Mexicans deserve a tax system that puts their household budget ahead of more government bureaucracy. Real tax reform on the federal and state levels is long overdue and it is now time we put our communities and businesses first.”
Governor Greg Abbott (R, TX): “Listen, the fact of the matter is that it has been far too long since we’ve had tax reform in the United States of America. This is a meaningful step toward the kind of tax reform that the United States needs. I think it is important especially at the corporate level so that internationally we will be more competitive. … We will be advancing the United States of America economically if this tax plan passes and so I hope it does.”
Governor Rick Scott (R, FL): “My budget cuts $180 million in taxes to build on our success of cutting taxes 75 times saving Floridians more than $7.5 billion. DC needs to follow our lead and get tax reform done now.”
Governor Pete Ricketts (R, NE): “I applaud the President and congressional leadership for making tax reform a top priority this year . . . . Providing relief will put more money back into the pockets of hardworking families and unleash economic growth in communities across our nation.”
Governor Bill Walker (I, AK): The House and Senate conference committee on tax legislation has a singular opportunity to open one of the most prospective onshore areas in the world to safe oil and gas exploration and development – limited to 1/750th of the Coastal Plain or 1002 Area, which itself is just eight percent of ANWR – right here in the United States, on the North Slope of Alaska. It is critical that Congress act and get this legislation over the finish line to put the national resources of the Coastal Plain to use for the good of the country. Alaska’s economy needs this boost, and our nation needs a strong Alaska.
Governor Doug Burgum (R, ND): “North Dakota leaders have worked hard over the past 25 years to reduce individual and corporate income tax rates, pass sensible regulations and foster a business-friendly environment that stimulates investment and job creation, and we appreciate President Trump recognizing those continuing efforts . . . . We share the president’s goals for tax reform: simplify the tax code, lower rates to ease the burden on middle-class families and set corporate tax rates at levels that allow U.S. businesses to better compete in the global economy, bringing back jobs and wealth from overseas. And we urge Congress to work with the administration to achieve meaningful tax reform that encourages economic growth and saves taxpayers time and money.”
Governor Dennis Daugaard (R, SD): “I thank @SenJohnThune, @SenatorRounds and @RepKristiNoem for their support of tax reform. They understand that responsible reform can jumpstart our economy.”
Governor Scott Walker (R, WI): “Our nation’s tax code, on the other hand, is outdated and in desperate need of reform. Due to the incomprehensible regulations and untold pages of forms and instructions, nearly 90 percent of taxpayers need external help to simply comply with paying their taxes. Across the country, this time and energy spent adds up to some 6 billion hours and $15-16 billion in tax compliance costs, according to the Internal Revenue Service and the National Federation of Independent Business.”
Governor Kay Ivey (R, AL): “President Trump is proposing the largest tax cut for American families and businesses in decades . . . . The current tax structure is oppressive to families and businesses alike, and it simply sets us up for failure in today’s global economy. We’ve proven in Alabama, with the lowest unemployment rate in history, lower taxes and less government regulation produces jobs – it’s time Washington joins us in our efforts.”
Governor Eric Holcomb (R, IN): “We must simplify, close loopholes, institute fairness and lower overall rates—especially for small business.”
Governor Brian Sandoval (R, NV): “Reforming the nation’s tax code is an incredibly complex task that is long overdue. I applaud the President for making this a priority in this Congress, and I appreciate Congress’ attention as they reform our tax code with a focus on fairness, competitiveness and economic growth. I continue to appreciate the leadership of Senator Heller and our entire Congressional delegation; their willingness to work with the state will help ensure the final legislative product will be one that will help Nevada grow, put more Nevadans to work, and allow Nevadans to keep more of their hard-earned money.”
Lt. Governor Casey Cagle (R, GA): “To reach our nation’s potential we need a tax system that empowers entrepreneurs and businesses to invest in our workforce. Our leaders have an opportunity to set us on a path of economic growth, job creation, and prosperity to enable more of our families to climb up the economic ladder. I applaud the leadership of President Trump and our state’s congressional delegation for their support of the Tax Cuts and Jobs Act, delivering hardworking Georgians the tax relief they deserve. Americans have waited 31 years for meaningful tax reform, and the stakes have never been greater.”
Lt. Governor Rebecca Kleefisch (R, WI): “I am grateful that President Donald Trump and House Speaker Paul Ryan are finally tackling reform of our broken federal tax code. They’re working right now on an ambitious plan to make the federal tax code simpler, flatter and fairer.”
Lt. Governor Mary Taylor (R, OH): “The President is proposing the biggest tax cut to small and midsize businesses in 80 years, and as we have seen in Ohio, this will jumpstart the nation’s economy. The Council of Economic Advisors has estimated that the average American household income could increase between $4,000 and $9,000 a year in wages and salary alone from this proposal.”
Lt. Governor Brian Calley (R, MI): “The reform plan President Trump unveiled last month will be a game changer for all Americans. We know its principles are sound because of our experience here in Michigan. A simple, fair and efficient tax code will go a long way for everyone.”
Lt. Governor Mike Foley (R, NE): “President Trump is following through on his commitment to help grow America’s middle class with federal tax reform.”
Lt. Governor Mike Parson (R, MO): “The President of the United States is offering a tax plan that would greatly benefit Missouri families . . . . The President’s plan would reduce taxes and allow families to keep more of their hard-earned money. It would also allow the next generation of Missouri workers to invest in themselves, afford a quality education, and get a good job here in our state.”
Lt. Governor Tim Griffin (R, AR): “Individuals and families know how to spend the fruits of their labor and provide for their families better than bureaucrats a thousand miles away. Tax reform will allow Arkansans to save for the future, pay off credit-card debt, or simply make ends meet.”
Bill Schuette, Attorney General (R, MI): “The last president to reform America’s tax code was Ronald Reagan. During his time in office, America added 15.9 million jobs, an increase in the nation’s workforce of more than 17 percent. Now more than ever, our economy needs a booster shot. President Trump’s tax reform is just what the doctor ordered to simplify the code, create more jobs and spur greater growth in our economy.”
Josh Hawley, Attorney General (R, MO): “President Trump has a bold plan to change course and give working Missourians a chance to move ahead. His plan honors real work and prioritizes the taxpayers instead of the tax takers.”
John McMillan, State Agricultural Commissioner (R, AL): “Farmers in Alabama and across the nation face natural disasters, significant price fluctuations in the market, increased regulations and many other challenges. Without comprehensive tax reform, the American farmer may eventually be taxed out of business or at least taxed where he or she can no longer pass the farm on to the next generation. The elimination of the estate tax is just one of the revisions in the Tax Reform plan that provide farmers hope.”
Jeff Witte, State Agricultural Director (NM): “The farm and ranch property often has to be split and sold to satisfy estate taxes upon the death of a family member. This predicament leads to the next generation having to take family assets to satisfy the tax in order to preserve the enterprise as a whole, leaving these individuals in a position in which they cannot succeed financially, eventually losing the family business.”
Mike Strain, State Agricultural Commissioner (R, LA): “A lowering and restricting of tax rates will put more money in the pockets of our citizens and will ultimately allow farmers and other business owners to have more money to invest and help grow the economy. Lower tax rates for consumers will also increase their purchasing power for better nutrition for all American families.”
Dave Yost, State Auditor (R, OH): “Tax reform would be good for the economy, and it will be good for Ohio families. The President’s plan will double the standard deduction so that more income is taxed at zero percent. It will increase and expand the Child Tax Credit to help more middle-class families and — finally! — eliminate the marriage penalty.”
Ron Knecht, Controller (R, NV): “The special interests that benefit from exemptions, deductions and credits available only to some parties are few in number, but each member of the group has a large stake in keeping these provisions.”
John Dougall, State Auditor (R, UT): “As the Republican Congress and President Trump take up the daunting issue of tax reform, we encourage our federal colleagues to follow Utah’s lead and create a system that is simple, equitable, and stable for American taxpayers.”
Walker Stapleton, State Treasurer (R, CO): “I applaud and support the efforts of federal lawmakers and President Trump to simplify our nation’s tax code and jump-start our economy. As Treasurer, I know Colorado families and small businesses will benefit from a tax plan that is simpler and our economy will thrive with a lower corporate rate. It will bring jobs and investment back to America and make us more competitive in a global economy . . . . This is a once in a generation opportunity to fundamentally change the structure of our complicated and burdensome tax code. I support the efforts of Congress and the President to get it done.”
SPEAKERS OF THE HOUSE
House Speaker Mike Turzai (R, PA): “It’s the number one policy initiative . . . and nothing will help families and employees and jobs more.”
House Speaker Richard Corcoran (R, FL):“Nationally, it’s clear that we need broad tax reform, and I’ll gladly support any effort to simplify the tax code and cut rates. Luckily for the nation, the conservative spirit that drove Florida’s success is alive and well in the tax framework that Trump laid out.”
House Speaker Brian Bosma (R, IN): “With one of the top business climates in the nation, Indiana’s economic environment stands in stark contrast to the dysfunction of federal tax policy and job-killing regulations.”
House Speaker Tim Moore (R, NC): “Tax relief is about protecting hard-earned paychecks and empowering all families in the workforce to succeed together in the entrepreneurial spirit of the United States. It’s about helping everyday people provide themselves a higher quality of life and build opportunities without an excessive burden on their bottom line. Again, for Congress and President Trump to realize the full potential of the American economy, North Carolina is the bellwether state when it comes to tax reform.”
House Speaker Tim Armstead (R, WV): “President Trump’s plan would provide significant tax relief to the backbone of West Virginia’s economy – our small businesses. Perhaps no segment of West Virginia’s economy has had to weather the economic storm more than our small and family-owned businesses. The President recognizes the challenges our small businesses must meet and has proposed to cap the maximum tax rate these businesses must pay. This step will provide a much-needed boost to these struggling small businesses who mean so much to our neighborhoods across West Virginia.”
National Taxpayers Union: “Tax reform makes America competitive again”
“Every Senator should support passage. Failure to cast a ‘yea’ vote could result in this opportunity slipping away, condemning our economy and country to the status quo.”
Tax reform makes America competitive again
By Michael D. Fryt and Pete Sepp
The Commercial Appeal [Memphis, Tennessee]
November 30, 2017
The U.S. Senate has the best opportunity in recent memory to do something truly beneficial for our country: Pass tax reform.
Every Senator should support passage. Failure to cast a “yea” vote could result in this opportunity slipping away, condemning our economy and country to the status quo.
Our tax code is a mess, well-known by tax experts, economists, and politicians from both parties for being economically self-destructive.
It contains a corporate tax rate that is among the world’s highest, and policies that distort basic business decisions – decisions directly affecting jobs and wages.
Most countries have aggressively improved their tax systems in the last 30 years to grow their economies by attracting new businesses. For example, the American Action Forum reports that, since 1988, all but two countries, New Zealand and the U.S., have dramatically reduced their corporate tax rates.
The Senate bill says “enough.” In a preliminary analysis, the Tax Foundation estimated that the bill, before amendments that could improve its revenue score, would produce higher wages, 900,000 new jobs, and sufficient economic growth to be very close to revenue-neutral over 10 years, assuming a current policy baseline.
Tax reform should pass not for our own selfish interests, but in the interests of our country’s future — our children’s and grandchildren’s future.
The great majority of individuals, families and businesses will see lower tax bills if tax reform passes. Most will see their tax-filing processes simplified. But the biggest impact will be from economic growth — which benefits everyone.
The RATE Coalition: “An open letter to Congress signed by 137 economists supporting GOP tax reform bill”
“The enactment of a comprehensive overhaul – complete with a lower corporate tax rate – will ignite our economy with levels of growth not seen in generations.”
An open letter to Congress signed by 137 economists supporting GOP tax reform bill
The RATE Coalition
November 29, 2017
Economic growth will accelerate if the Tax Cuts and Jobs Act passes, leading to more jobs, higher wages, and a better standard of living for the American people. If, however, the bill fails, the United States risks continued economic underperformance.
In today’s globalized economy, capital is mobile in its pursuit of lower tax jurisdictions. Yet, in that worldwide race for job-creating investment, America is not economically competitive.
Here’s why: Left virtually untouched for the last 31 years, our chart-topping corporate tax rate is the highest in the industrialized world and a full fifteen percentage points above the OECD average.
The question isn’t whether American workers are hurt by our country’s corporate tax rate – it’s how badly. As such, the question isn’t whether workers will be helped by a corporate tax rate reduction – it’s how much.
The enactment of a comprehensive overhaul – complete with a lower corporate tax rate – will ignite our economy with levels of growth not seen in generations. A twenty percent statutory rate on a permanent basis would, per the Council of Economic Advisers, help produce a GDP boost “by between 3 and 5 percent.”
We firmly believe that a competitive corporate rate is the key to an economic engine driven by greater investment, capital stock, business formation, and productivity – all of which will yield more jobs and higher wages.
WTAS: Praise for President Trump’s Tax Reform Speech in Missouri
Cabinet Members and Elected Officials
Secretary of the Treasury Steven Mnuchin: “Today the President returned to Missouri to speak to hardworking men and women and small business owners, who are the engines of job creation in our country, about how tax cuts and reform will bring better-paying jobs to Main Street in America. We have the highest business tax rates in the developed world, and they have driven jobs and opportunities overseas. That is why we are working with Congress to pass historic tax reform that will not only cut taxes for families, it will make our businesses more competitive and spur sustained economic growth that will benefit all Americans.”
Secretary of Agriculture Sonny Perdue: “Too much time, effort, and expense has gone into complying with the onerous tax code and people need relief. As Congress works towards a final package of tax cuts and reforms, I am hopeful that we can get this done to benefit agriculture and the entire American economy.”
Secretary of Labor Alexander Acosta: “Tax reform is about job creation. President Trump is working to revitalize America’s main streets by reducing taxes, and making the tax code simpler and fairer. With nearly 1.5 million jobs created since January and two consecutive quarters of GDP growth above 3 percent, the President has unleashed a spirit of economic optimism—but our work is not done. Lowering taxes for job creators will help them grow and hire more Americans for good, family-sustaining jobs.”
Administrator of the Small Business Administration Linda McMahon:“America was built on the backs of our entrepreneurs….reforming the tax-code will help to revive that entrepreneurial spirit and spur further economic growth. I want to commend the President and Congressional leadership for their efforts and vision, and look forward to seeing tax reform cross the finish line.”
Sen. Roy Blunt (R-MO): “As President Trump made clear today, fixing our broken tax code is about two things: helping hardworking Missouri families keep more of what they earn and ensuring there are more opportunities and better-paying jobs for every American. I’ve heard from countless Missouri families, small business owners, and manufacturers about the challenges they face with our outdated tax code. They need relief, and I appreciate President Trump’s push to make sure they get it.”
Rep. Blaine Luetkemeyer (R-MO): “Americans work too hard and produce too many great products to have our economy weighed down by outdated laws and elected officials who lack the courage to make tough decisions. It is incredible to have President Trump visit the 3rd Congressional District during this historic week. With all eyes on the Senate now, it is my sincere hope they join the House in passing meaningful reform so we can soon deliver a bill to the President’s desk.”
Rep. Billy Long (R-MO): “It was great to have @POTUS back in #Missouri today to talk about #TaxReform!”
Rep. Sam Graves (R-MO): “The House Republican tax bill will ease the compliance and tax burdens small businesses will face and ensure that they are allowed to grow, create jobs, and build a stronger economy. During our trip, President Trump and I saw and heard the necessity of making sure that tax reform becomes a reality and I look forward to joining him and bringing much-needed relief to small business owners across the country.”
Rep. Vicky Hartzler (R-MO): “It’s an honor to accompany President Trump on his trip and welcome him to my home state. Americans are ready for a change in the tax code that allows them to flourish instead of just ‘get by.’ The Tax Cuts & Jobs Act would do just that by roughly doubling the standard deduction, which seventy-one percent of Missourians currently use. I look forward to continuing to work with President Trump and my colleagues in the Senate to bring Missourians and the American people much-needed relief.”
Rep. Jason Smith (R-MO): “President Trump knows that tax cuts for the folks in Missouri will unleash the economy and are [for] the people that he’s trying to help the most, and it’s nice to have him back in our state.”
Rep. Ann Wagner (R-MO): “The people of the 2nd District sent me to Washington to secure their jobs and fight to keep more of their hard earned money. Now—with the President’s continued support—Congress is finally on the verge of doing just that. The Tax Cuts and Jobs Act will reignite the American economy, it will make every day a little bit easier for that single mother of two, that firefighter, or that small-business owner.”
The Associated Press: “During his second visit to the state to build support for the plan, Trump made a populist appeal for the Republican tax package, saying it would ‘bring Main Street rolling back.’”
Fox News: “President Trump on Wednesday traveled to Missouri to rally support for the tax overhaul making its way through Congress, as senators gear up to vote on the White House’s top legislative priority in the coming days. ‘The eyes of the world now turn to the United States Senate,’ the president said during a rally in St. Louis.”
The Hill: “President Trump on Wednesday rallied the public on tax cuts ahead of a key Senate vote. Standing in front of American flags and Christmas trees in Missouri, Trump told the crowd he came to the state ‘to help push our plan for historic tax cuts right across the finish line.’”
The Washington Times: “The president said that the tax cuts would help unleash an economic revival that he said was already underway because of his policies….He said of the Senate vote [expected] by week’s end, ‘Now comes the moment of truth. In the coming days, the American people will learn which politicians are part of the swamp, and which politicians want to drain the swamp.’”
Washington Examiner: “President Trump highlighted congressional Republicans’ progress toward passing a tax reform bill and touted the success of the economy on his watch during a wide-ranging speech in Missouri on Wednesday….Trump stressed that the reduction in rates contained in Republicans’ tax plan will benefit the middle class and not high-income households, as Democrats have alleged.”
Newsmax: “President Donald Trump touted the Republican Party’s efforts to pass tax reform Wednesday, saying it will help the United States win again….Trump’s campaign-style speech drew several rounds of applause as he made the case for passing tax cuts and rattled off statistics that he said demonstrated his accomplishments.”
St. Louis Post-Dispatch: “In a speech to about 1,000 invited supporters at the St. Charles Convention Center, Trump hammered at the message that the Republican tax plan is the best way to offer relief to the American people. Trump hearkened back to St. Charles’ past as a frontier city, saying America could rediscover the pioneer spirit, and he praised the city’s Main Street corridor.”
The Kansas City Star: “Trump, who spoke on a stage filled with Christmas trees, said that the tax cuts would be a present for the nation. He also promised that he would return to his promise to repeal the Affordable Care Act, former President Barack Obama’s signature policy, after the Senate passes tax cuts.”
St. Louis Public Radio: “Speaking before a packed audience at the St. Charles Convention Center today, Trump delivered a speech laced with a callbacks to history, promising to return the United States to a more prosperous time….He lauded benefits in the legislation for individuals and married couples, and he promised that companies would receive benefits that would let them offer more jobs.”
KMOV 4 St. Louis: “This was President Trump’s second visit to the state to build support for the plan. In his speech at a local convention center, Trump made a populist appeal for the Republican tax package, saying it would ‘bring Main Street rolling back.’”
Dow Jones: “U.S. GDP growth revised up to 3.3% rate in third quarter”
“Gross domestic product, a broad measure of goods and services created across the U.S., expanded at a 3.3% seasonally and inflation-adjusted annual rate in the third quarter, the Commerce Department said Wednesday.”
U.S. GDP growth revised up to 3.3% rate in third quarter
By Ben Leubsdorf and Sarah Chaney
Dow Jones Newswires
November 29, 2017
U.S. economic growth in the third quarter was stronger than earlier thought, and corporate profits rebounded during the summer months.
Gross domestic product, a broad measure of goods and services created across the U.S., expanded at a 3.3% seasonally and inflation-adjusted annual rate in the third quarter, the Commerce Department said Wednesday.
That was the strongest quarterly growth reading in three years, matching economists’ expectations and revised upward from the government’s initial estimate of 3.0%. Output had expanded at a 3.1% rate in the second quarter.
The latest report showed more business investment in equipment and software compared with prior estimates, as well as stronger government spending. The pace of growth was boosted last quarter by two volatile components, private inventories and net exports.
Looking ahead, economists expect the year will end on solid footing.
A number of indicators show the U.S. economy was in good health headed into the holiday season. The unemployment rate in October was 4.1%, its lowest level in nearly 17 years. Gauges of consumer, investor and business sentiment remain high. The stock market has reached new records and global growth has picked up this year.
Business investment was stronger than initially thought. Fixed nonresidential investment rose at a 4.7% pace, up from an earlier estimate of 3.9%, More spending on equipment and intellectual property products outweighed a sharper-than-expected pullback in spending on structures.
The White House
The Hill: “Trump opens GOP eyes on tax reform”
“Senate Republicans think President Trump is playing a constructive role in the tax debate and are optimistic about their chances of winning a big legislative victory.”
Trump opens GOP eyes on tax reform
By Alexander Bolton
November 29, 2017
Senate Republicans think President Trump is playing a constructive role in the tax debate and are optimistic about their chances of winning a big legislative victory.
Trump flexed his muscle as an advocate on Capitol Hill Tuesday when he took on Sen. Ron Johnson (R-Wis.) during a private meeting after Johnson threatened the day before to vote against the tax bill.
Trump also addressed deficit concerns raised by Sens. Bob Corker (R-Tenn.) and James Lankford (R-Okla.), warning them that lawmakers needed to be careful not to hurt future growth by setting up a backstop measure that would raise taxes in case the bill’s growth projections fell short.
The message got through to Johnson and Corker, who were threatening to vote against the tax bill in the Senate Budget Committee.
Both senators voted “yes,” allowing it to pass the panel by a single vote and giving it crucial momentum.
Senate Republican Whip John Cornyn (Texas) said Trump gave the tax bill a shot of adrenaline.
“I thought the president did a good job of inspiring us all to get the work done,” he said. “This is a political imperative for Republicans.”
“He brought that message home and I thought it resonated,” he said.
“Tax policy is obviously something he’s worked on a lot for a long time. Just his own personal business dealings and his own taxes so he’s very knowledgeable of this issue,” Lankford said.
He acknowledged that Trump made a good point about the potential of a backstop measure to cause uncertainty in the business sector.
The president will travel to Missouri on Wednesday to pressure Democratic Sen. Claire McCaskill (Mo.), who faces a tough reelection in 2018, to vote for the bill.
Trump flew to Indiana, the home state of another vulnerable Democrat, Sen. Joe Donnelly, in September to promise “revolutionary change” to the tax code and pledge the economy would take off “like a rocket ship.”
He’s also taken a hands-on approach to lobbying lawmakers in the tax debate, meeting with the entire Senate Republican conference on Capitol Hill just over a month ago to unify it behind his tax plan.
The White House
USA Today: “Dow posts biggest gain in 3 months on tax overhaul optimism”
“The Dow posted its biggest gain since early September amid rising optimism that a tax cut bill is moving closer to reality… It was the Dow’s best daily gain since a 260 point rise on Sept. 11.”
Dow posts biggest gain in 3 months on tax overhaul optimism
By Adam Shell
November 28, 2017
The Dow posted its biggest gain since early September amid rising optimism that a tax cut bill is moving closer to reality.
In a sign that the promised tax overhaul from President Trump — which includes a massive reduction in the corporate tax rate and lower taxes for most individual filers — is not currently fully priced into the stock market, the Dow Jones industrial average rose 256 points, or 1.1%, Tuesday to close at a record high of 23,836.71.
It was the Dow’s best daily gain since a 260 point rise on Sept. 11.
The stock price surge, which also included record highs for the Standard & Poor’s 500 stock index, the Nasdaq composite and the small-company Russell 2000, was fueled by news that the Senate Budget Committee cleared the current version of the Republican-led tax bill in a 12-11 vote.
The tax plan is viewed by investors as the centerpiece of Trump’s economic stimulus initiatives, as lower taxes for businesses and individuals is seen as boosting the economy, corporate earnings and consumer spending.
The biggest winners of the day were small-company stocks, as they are domestically focused and will benefit most from lower tax rates.
The White House
RNC Chairwoman Ronna McDaniel: “Democrats were for tax reform before they were against it”
“All of these provisions are specifically meant to relieve tax burdens on the middle-class. That’s a goal that Democrats have repeatedly said they’d support.”
Democrats were for tax reform before they were against it
By Ronna McDaniel
November 29, 2017
The Tax Cuts & Jobs Act is steadily making its way through Congress and will be a welcome relief to families, businesses, and workers, letting everyone keep more of their hard-earned money.
Now, as the full Senate prepares to consider the bill, Democrats in Congress vowing to oppose the bill should remember what they themselves once supported.
Just take Democrat leadership, for example. Senate Minority Leader Chuck Schumer, D-N.Y., said this August that his party wanted a plan that would ease the tax burden on the middle-class.
House Minority Leader Nancy Pelosi, D-Calif., in May spoke in favor of reforms to create a fair tax system and grow the economy – and she specifically cautioned against ideological negotiation in the process.
Schumer and Pelosi are joined in hypocrisy by a slew of their Democrat colleagues: Sen. Claire McCaskill of Missouri has called for tax reform. So have Sens. Elizabeth Warren of Massachusetts, Bill Nelson of Florida, Bob Casey of Pennsylvania, and Tammy Baldwin of Wisconsin. Sen. Debbie Stabenow of Michigan agreed this year, as did Rep. Tim Ryan of Ohio.
In fact, Democrats were in favor of key provisions of the new tax cut package before there ever was a plan.
The tax plan will cut individual tax rates for low- and middle-income Americans, meaning the average middle-class family will see relief of nearly $1,500 per year. It will roughly double the standard deduction, expand the zero tax bracket, and maintain a 10 percent bracket. It will effectively repeal Obamacare’s individual mandate tax and eliminate special-interest deductions, all while protecting deductions that encourage philanthropy and home ownership.
Key provisions of the Senate’s tax bill are bipartisan – or rather, nonpartisan. Notably, the bill will slash the corporate tax rate to 20 percent, marking the biggest reduction of this tax in our nation’s history.
We have one question for the Democrats: Will you help Congress keep its promise to the public?
The White House
Bernie Marcus: “GOP should unite for legacy tax-reform vote”
“It’s time for Republican senators to put petty and political differences aside to come together over tax cuts for hardworking Americans.”
GOP should unite for legacy tax-reform vote
By Bernie Marcus
November 28, 2017
Delivering long-overdue relief from overtaxation so that small businesses can become big ones and so hardworking families can keep a little more of what they earn is a legacy for which every U.S. senator should be remembered.
Focus on the bill, not the shills. Look at how the doubling of the zero tax rate, the doubling of the child tax credit and the elimination of the 15 percent tax bracket in favor of an expanded 12 percent bracket would save middle-class taxpayers thousands of dollars a year.
And look at how the new 17.4 percent deduction for all businesses earning less than $500,000 annually, and for all nonprofessional service businesses above that threshold, will bring much needed tax relief to the overwhelming majority of the nation’s small-business job creators who have been largely passed over by the economic recovery.
Tax cuts are more than just a Christmas gift to Americans. They are the gift that keeps on giving, reverberating in so many positive ways that they’re impossible to quantify.
For some senators, a vote for the tax cut bill will be something they can take back to voters during election season, pointing out how their vote delivered their constituents the equivalent of gas money or utility bills for a year.
That’s a huge relief for the four-fifths of working Americans who live paycheck-to-paycheck, or for the half of Americans who can’t cover an unexpected $400 expense, like a medical bill or car repair.
For many senators, this will be a legacy-cementing vote for which they will be remembered and thanked long after they’re gone.
With the House tax bill passed, the real fight begins in the Senate this week. It’s time for Republican senators to put petty and political differences aside to come together over tax cuts for hardworking Americans.
Remarks by President Trump on Tax Reform
St. Charles Convention Center
St. Charles, Missouri
2:22 P.M. CST
THE PRESIDENT: I told you that we would be saying, merry Christmas again, right? (Applause.) And it’s great to be back in Missouri — a sign of a lot of good things because you’re doing really well.
And I want to thank Governor Greitens and Attorney General Hawley, who — by the way, Josh — where’s Josh? Josh, our next senator. Where is he? (Applause.) He’s going to be a great senator. And he wants to see a major tax cut. I think I can speak for him, right? (Applause.) And your current senator does not want to see a tax cut. That’s not good. That’s not good. She wants your taxes to go up.
AUDIENCE: Booo —
THE PRESIDENT: Secretary Mnuchin, who’s doing such a fantastic job — (applause) — thank you — and Linda McMahon. Everybody knows Administrator — small business, became a big business under Linda. She’s helping a lot of people. Thank you very much, Linda. (Applause.)
I especially want to thank Missouri’s incredible congressional delegation: Sam Graves — where’s Sam? You all here? Yeah. They all flew in with me. They wouldn’t miss that flight. Vicky Hartzler. Vicky, thank you. Thank you, Vicky.
Billy Long, who I think was my first endorser in the entire country, practically, Billy, right? Thank you, Billy.
Blaine Luetkemeyer. Blaine, thank you, Blaine. (Applause.) And he was great on television today. I watched him — I got up early and I watched you on — that was a good interview. Thank you. He’s very much in favor of tax cuts.
Jason Smith and Ann Wagner. Thank you, Jason. Thank you, Ann. (Applause.)
And, you know, I have two others. I have a lot of faith in Faith, Sally Faith. Where’s Sally, your mayor? (Applause.) Hi, Sally. Thanks, Sally. And Eric Schmitt, Missouri state treasurer. (Applause.) Thank you. Thank you, Eric. You’re doing a great job.
Just three months ago, we came to this state to launch our plan to bring back Main Street by cutting taxes for American families and small businesses. Today, I’ve come back to this incredible state to spend an afternoon with its amazing citizens — you are amazing — to help push our plan for historic tax cuts right across that finish line. We’re going to do that.
With your help, we can usher in a thrilling new era of opportunity and growth for this nation that we love so much. Tax cuts have already passed the House of Representatives. (Applause.) Big ones. Big ones. The eyes of the world now turn to the United States Senate.
A successful vote in the Senate this week will bring us one giant step closer to delivering an incredible victory for the American people. Massive tax cuts and reform. I don’t even mention the word reform because people don’t know exactly what we’re talking about.
You know, for years, they have not been able to get tax cuts — many, many years, since Reagan. And the problem was they talked about tax reform, not tax cuts. I said, don’t call it “reform,” call it “tax cuts and reform.” So every once in a while we’ll add the name “reform.” But it’s tax cuts.
We cannot sit — (applause.) Right? The Governor agrees.
We cannot sit idly by and watch ourselves losing in competition to other countries as they continue to take away our jobs because their tax codes are more competitive and less burdensome than ours. That’s why we must cut our taxes, reduce economic burdens, and restore America’s competitive edge. We’re going to do that, too. And it’s already happening. Look what’s happening with our markets. People get it. (Applause.)
If we do this, then America will win again like never, ever before. (Applause.) A vote to cut taxes is a vote to put America first again. We want to do that. We want to put America first again. (Applause.) It’s time to take care of our workers, to protect our communities, and to rebuild our great country. (Applause.)
You know, we’ve spent almost $7 trillion in the Middle East over the last 16 years — $7 trillion. Now, I’m taking care of it. We’re doing numbers like ISIS has never seen before. We’re wiping them out — terrorists, they’re bad. (Applause.)
And all of that, but we’ve spent almost $7 trillion. We could have rebuilt our country four times over. And we’re going to start spending here. We’re going to start spending here. (Applause.)
And with that being said, we’re going to protect our country, whether it’s North Korea or any — but we’re going to protect our country like never before. We’re going to build up our military and make our product here and make our planes, and our boats, and our everything here. But we’re going to build up our military. (Applause.)
But we’ve got to start focusing on our country. That’s why I’m saying America first. Make America great again — you’ve never heard that expression. (Applause.) All those hats. All those — they’ve never heard that expression before.
Oh, that was a good expression and it’s a true expression and it’s already happening and long ahead of schedule. And in fact, today, some numbers came out that people haven’t seen in many, many years.
This beautiful city of St. Charles is the perfect place to deliver the message that I want to deliver. It’s the place where America’s past and future come to life on its historic brick-lined Main Street. Nice street, do you agree? (Applause.)
It was along these very streets that, in 1804, the great American explorers, Lewis and Clark, gathered their final supplies before setting out on their very historic expedition of discovery. I have to say, I didn’t really know that until two days ago. (Laughter.)
See? See, now the world is watching. Look at all the fake news back there. They’re all —
AUDIENCE: Booo —
THE PRESIDENT: They’re all watching.
Today, more than two centuries later, a new generation of American pioneers begins its own adventure, gathering inside the startups and the storefronts of main streets across the country, blazing new trails into totally uncharted territory of business and technology, and once again leading our nation into a future of limitless potential.
That’s what we have in this country. We have the greatest people. It’s the greatest country. I love this country so much. (Applause.)
Our country was not treated properly for a long time. We’re treating it properly. We’re treating it with love and with this. You got to treat it with this.
And today, just as it’s always been, Main Street is the heart of our economy, the soul of our community, and the birthplace of American dreams.
But over the years, crippling taxes, massive regulation, and totally disastrous trade deals — oh, the trade deals. Oh, I get a headache thinking about who made these deals. (Laughter.) One after another. WTO, NAFTA, the wonderful deal with South Korea — remember, they said it’s going to produce 200,000 jobs? And it did, for South Korea. (Laughter.) Didn’t produce — we lost 200,000 jobs. It turned some of our businesses’ main streets into empty ghost towns. You see what’s happened.
Now we have a once-in-a-lifetime opportunity to restore American prosperity and reclaim America’s great destiny. We’ve already made tremendous progress — far greater than I would have thought. I will tell you this in a non-braggadocious way — (laughter) — there has never been a 10-month President that has accomplished what we have accomplished. That I can tell you. That I can tell you. (Applause.)
Today, again, the stock market has reached another record, all-time high. (Applause.) The unemployment rate nationwide is the lowest it’s been in 17 years — (applause) — and 13 states this year have seen unemployment drop to the lowest levels in the history of their state. And I hate to tell you, but Missouri happens to be one of them. (Applause.)
We’ve created nearly 2 million jobs — 2 million jobs, think of that. We used to lose millions. Now we’ve created 2 million jobs since I won the election. And, I want to say, since you won the election. I didn’t win the election; you won the election. (Applause.)
And we will create countless more if we can sustain the 3 percent growth rate we have achieved for the past two quarters. But we’re going to do much better than that. Remember I used to say, we can hit 4 and we can hit 3? And they were all saying, forget it, forget it. It was 1.2. It was doing terribly. We were flat. We were even. In all fairness, the stock market was going this way.
And now, we’re hitting numbers that nobody thought possible, certainly not in this time. And the numbers going up are going to be much better than anybody anticipates. In fact, they’re going to say that Trump is the opposite of an exaggerator — the exact opposite. (Laughter and applause.) They’re going to start saying, Governor, that he ought to be a little bit more optimistic because his predictions were low, can you believe it?
You know, a year and a half ago, they were saying, oh, he can’t do that. Now they’re saying, hm, that was quick. (Laughter.)
But by the way, the Commerce Department announced this morning that our GDP — that’s the big one — in the third quarter, grew even faster than they reported previously. They made a mistake, they were too low. They had it at 3 percent. By the way, 3 percent — did you ever think you’d hear that in less than a year?
THE PRESIDENT: And now it comes in at 3.3 percent, which is the largest increase in many years. (Applause.)
And if we didn’t have the hurricanes, we would have been at 4 percent. The hurricanes were devastating. And I said, they’re worth a point. They said they were worth like .006, but I said they were worth a point. We would have been at 4 percent, maybe even over 4 percent, but we had hurricanes.
We took care of them. In Texas and Florida, they did a great, great job — amazing job, tremendous leadership. And we’re very proud.
Puerto Rico has been a very tough situation because of the fact that it was in very, very bad shape before the storms ever hit. But they’re doing well there and it’s healing and it’s getting better. And we’re getting them power, and all of the things that they have to have.
But I want to tell you there are a lot of brave people in every state. We have great, great people, and it’s our number one resource, believe me. Really great. (Applause.)
But in order to achieve this bright and glowing future, the Senate must pass those tax cuts. Bring Main Street roaring back — and that’s what’s going to happen. This was all done without the tax cuts, and I’m not sure that people even believe the tax cuts. I want to see what happens.
And the big day will be either tomorrow or the next day. I would say do it now. We’re ready. (Laughter.) I said to the Republicans — and I want to tell you, these are good people. They really want a — I know they get hit hard, the senators and the congressmen — but they’re all working hard. It’s not so easy. It’s complicated stuff. It’s not so easy.
But we had an incredible session yesterday. And I think we’re there. That’s why I said, let’s do — can we do the vote today? What do I know? I’m a business guy. Can we do the vote now? Well, they said, how about Friday? I said, I don’t want to wait until Friday. (Laughter.) Right, Billy? I said, Billy, can we do the vote? Get me the vote.
Well, Billy has already passed it, so — and then what happens, if it passes it goes into this beautiful committee — this beautiful — I call it a pot. And we mix it up, and we stir it up, and we bring all the best things out, and you’re going to have something, I predict, that will be really, really special.
So, right now — (applause) — really is.
So right now, America’s tax code is a total dysfunctional mess. The current system has cost our nation millions of American jobs, trillions and trillions of dollars, and billions of hours wasted on paperwork and compliance. It is riddled with loopholes that let some special interests — including myself, in all fairness. This is going to cost me a fortune, this thing — believe me.
Believe me, this is not good for me. (Laughter.) Me, it’s not so — I have some very wealthy friends — not so happy with me, but that’s okay. You know, I keep hearing Schumer, “This is for the wealthy.” Well, if it is, my friends don’t know about it. (Laughter.) I have to explain why.
Now it is great for companies, because companies are going to bring back jobs. And we’re lowering the rates very substantially. But right now, we’re bringing the rates down from 35 percent — which is totally non-competitive. The highest industrialized nation in the world, by far, and we’re bringing it all the way down to 20 percent. (Applause.)
But that’s good for everybody in the room, whether you have company or whether you want a job, because we’re going to bring back jobs. (Applause.)
And what we’ve had is a massive giveaway to foreign countries, which encourage businesses to relocate offshore. And you’ve seen what’s happened.
Before this — this is, really, I’m most proud, because, as bad as our tax code is, we have Toyota, we have big car companies coming back in, building plants in Michigan and other places. We have a lot of businesses coming back in, and they see what’s happening. They see what’s going on.
That’s why they’re doing — our current code is a giant — and really it is — it’s a self-inflicted economic wound. It’s been that way for so many years and nobody wanted to do anything about it.
But all that will change and it will change immediately if Congress sends a tax cut and reform bill. The biggest tax cut in the history of our country — bigger than Reagan. If they send it to my desk, I promise all of the people in this room — my friends, so many friends in this room. It’s a great state. I promise you I will sign it. I promise. I will not veto that bill. There will be no veto. (Applause.)
Under the plan moving forward in the Senate, a typical family of four earning $75,000, as an example, will see their taxes go down by as much as $2,000. That’s a lot. (Applause.)
Now, we’re doing that not just to help people. We’re doing that because it helps our country. You’re going to take that $2,000 and maybe you’ll save some, and you’re going to spend some. And we’re going to make product back in our country again. It’s going to be made here — going to be made elsewhere. But it’s going to be made here. We’re opening up plants. We’re opening up factories, and we’re going to be great to small business. Wait until you see the final product. Wait until you see what finally comes out in what I call the mixer.
The beating heart of our plan is a tax cut for working families. That’s what it is. We’re going to make sure — (applause) — that you keep more of your hard-earned money. We’re going to make sure, also, that you have a job that you want. You’re going to have choice. In education we now have choice. Good word. Here you’re going to have a choice. You’re not just going to have one — you’re going to have a choice of many jobs. People are moving back into our country.
Under our plan, the first $12,000 of income earned by a single individual will be totally income-tax-free — zero. (Applause.) And a married couple won’t pay one dime of income tax on their first $24,000 of income — zero. (Applause.)
Our plan will significantly increase the child tax credit and make it available to more middle-class families because the single most important investment our nation can make is in our children. Do we agree? You agree? You better agree. (Applause.)
Families will also benefit from a new credit for other dependents like a child in college, or an elderly loved one. We have our mothers, our fathers. You have your grandparents. You have people that are elderly that have done a fantastic job. They’ve grown old. You want to help them. Now we are going to help you help them. (Applause.)
We’re also going to eliminate tax breaks and complex loopholes taken advantage of by the wealthy. Who are they? I don’t know. (Laughter.) I think my accountants are going crazy right now. It’s all right. Hey, look, I’m President. (Laughter.) I don’t care. I don’t care anymore. I don’t care. (Laughter and applause.)
Some of my wealthy friends care. Me? I don’t care. This is a higher calling. Do we agree? (Applause.) As Hillary said, what difference does it make? It made a difference. It made a big difference. It made a big, big difference. (Applause.)
We want a tax code that is simple and fair, and that’s for all Americans. The plan that senators will be voting on this week — hopefully as soon as possible — closes the loopholes that corporations use to shift their profits to tax havens, and it eliminates deductions for CEO salaries over $1 million. You see what some of these people are making — a little ridiculous. (Applause.)
I’m driving up their stock. They’re making a fortune. Then they go to their board, and they tell everybody what a great job they’re doing. But what am I going to do? (Laughter.) And many of them, honestly, I don’t like. (Laughter.) Oh, some of these bankers I don’t like them, and they’re making a fortune, and it’s one of those things.
Steve knows a couple of them that I’m talking about, doesn’t he? (Laughter.) They say what a great job they do. Right now anybody could do their job because we’re making it easy for them because we’re giving them a great and strong economy. And because we’ve cut regulations more than any President in the history of this country by far, and that’s for full terms. That’s not for 10 months. (Applause.)
And it allows builders to build, and it allows farmers to farm. You know what I’ve done for farmers. (Applause.) Where if you had a little puddle in the middle of your field, you go to jail if you touch it, right? You know what I’m talking about. Not anymore. Not anymore. Not anymore. (Applause.)
And it allows bankers to lend. It allows bankers to lend again. So many people came up to me, and they said, we had a 20-year relationship with a bank. We never had a default. We never had a bad loan. Now we go back to the bank, and they say, we can’t do business with you anymore.
Because they don’t qualify, even though they’re better than the people that do qualify. It’s incredible. But we’re back to the strong days of our banks. And not the days of trouble — pre-that — we’re back to the — where bankers can make loans and community bankers can make great loans to good people.
You saw what happened recently where the certain agency or bureau that was causing so much trouble to lenders, where they could not lend. They just couldn’t lend. It was devastating. They were going out of business. Well, we’re taking care of that. We’ve already taken care of a big part of it, and yesterday you saw we won the lawsuit. So that’s going to be taken care of automatically. (Applause.) Got to get back to business.
Our focus is on helping the folks who work in the mailrooms and machine shops of America — the plumbers, the carpenters, the cops, the teachers, the truck drivers, the pipe fitters — the people that like me best. (Laughter.) Actually, the rich people actually don’t like me, which is sort of interesting.
And that’s fine. You know what? I like that trade. (Laughter.) But really, the people that like me best are those people — the workers. They’re the people I understand the best. Those are the people I grew up with. Those are the people I worked on construction sites with. (Applause.)
All of the people who give their best each and every day to take care of their family and the country that they love — these are incredible people. They came out to vote for me. They came out to vote for us. People that worked hard, two jobs, three jobs, that hadn’t voted in many years because they never had anybody they wanted to vote for.
And they came out — I’ll never forget, in Tennessee, a great congressman told me — they had early voting — said, I’ll tell you what, we just went through four days of early voting. At that time, it was Mr. Trump. Now they say, Mr. President. But it was Mr. Trump.
He said, and if the other parts of the country are like what’s happening in Tennessee — people are coming from all over Tennessee. They haven’t voted in years, and now they’ve got Trump shirts and they’ve got Trump hats, and they’ve got Trump-Pence, and they’ve got everything Trump and Trump-Pence.
And he said, I’ve never seen anything like it, and I’ve been a politician for a lot of years. And if it’s anything like Tennessee, you’re going to have one hell of a victory. It turned out to be a lot like Tennessee, so — (applause). And it turned out to be a lot like Missouri. That I can tell you. (Applause.) Because we had a big one here.
And I promised Josh that, when he gets it going — and he’s got it in very good shape, from what I hear, he’s a popular — everybody said, Josh, got to be Josh. Everyone who saw me — I said, who’s going to run against her? Josh, Josh. I said, Josh, when you’re ready, you have my word, I’m going to come here and campaign with you. We got to get you in. Okay? (Applause.) Got to get you in.
It’s not enough for the middle class to keep getting by; we want them to start getting way ahead. (Applause.) We’re going to have them start getting way ahead.
Under our plan, middle-class families will not only see their tax bill go down, they will see their incomes go up by an average of around $4,000. (Applause.) And that’s because we’re going to cut taxes on American businesses so they will compete for workers, they’ll raise salaries. The business is going to be happy and the workers are going to be happy and the country is going to be a happy place.
Although, we’re going to have very strong borders. Please remember that, okay? Please remember. (Applause.)
AUDIENCE MEMBER: Build the wall.
THE PRESIDENT: We’re going to have the wall. Don’t worry about it, we’re going to have the wall. (Applause.) We don’t forget that wall. A lot of people say, now that he got elected, is he going to build the wall? The answer is, absolutely — more so, I think more so. (Applause.)
It’s not easy dealing with the Democrats. They want to have people pour into our country — illegals. They don’t care where the hell they come from. They want to have them pour into our country, they want to raise your taxes, they don’t want to take care of your military, and all they’re good at, frankly, is obstructing. They want to obstruct.
But you know what? They may obstruct, but we have gotten through all of the obstruction so far. We’ll keep it going, believe me. (Applause.)
Today, America has one of the least competitive tax rates on planet Earth — 60 percent. Think of that: 60 percent higher than the average in the developed world. So our taxes are 60 percent higher.
On my recent trip to Asia, every single one of the countries I visited, even those with communist governments, have slashed its corporate tax rates and slashed them dramatically. And it’s very tough competition anyway. But when their taxes are a lot lower, it really makes it very tough.
And that trip was a tremendous success. You know, we brought back $250 billion in contracts. That’s going to be over a trillion dollars very soon. (Applause.) That’s a good week and a half’s work. Boeing came back with contracts. So many of our companies came back, and I’m very proud of them. And we’re doing great.
But at the same time, we’re going to fix trade because trade is unfair. We’re getting killed on trade. So we’re going to fix our trade. Unless anybody would like to continue with this horrible situation that we have.
AUDIENCE: Booo —
THE PRESIDENT: Our plan gets America from the back of the pack and it’ll bring us right to number one, where we were for years but where we haven’t been for decades. We’re going to be right back at number one. (Applause.)
And we’re going to work on trade, but we’re also going to work on military. When we defend nations that are very wealthy, and we do it for almost nothing, I say, why are we defending them? We love them. I won’t mention names, but there are a lot of them. We love them. They’re wealthy.
One of them has a cash flow that they say is unsustainable, it’s so large. Think of that. How would you like to have an unsustainable cash flow? They don’t know what to do with their money. And we defend them. It’s going to change, folks. We’re going to defend them, but they’re going to treat us fairly. And they’re going to pay for their defense. Does that make sense? (Applause.)
And a lot of this is from many, many years ago, when we defended a defeated country and then they became strong and they became rich and we just kept the same defense. What happened? Why didn’t anybody go in and negotiate?
And when I was in Asia, I spoke to a couple of the countries about it, and they looked like this. Do you know what this is? (Laughter.) That means they know they’re getting away with murder and they got to start helping us out, okay? So if you don’t mind, I’ll start bringing that up with some of our good friends. (Applause.)
We’re going to lower our tax rate to the very competitive number of 20 percent, as I said. And we’re going to create jobs and factories will be pouring into this country, and they already are starting. A lot of people think it’s going to happen. I don’t want to say anything. I’m not going to talk about it. I thought we had healthcare, and we will have healthcare. It’s going to happen. As soon as we get the taxes, we work on the healthcare, we’re going to happen. Because we thought we had the votes and something happened a little strange — (laughter) — that’s okay.
When you lose by one vote, then it’s called — you go back. You know, some people said, oh, you failed with healthcare. I said, what do you mean we failed? We didn’t fail. And by the way, what happened — what happened is Obama took a long time — years — to get Obamacare, right? Again, ten months? We’ve had two runs at it. We’re coming closer, closer. I think now we have a plan that’s going to be great. But we’re not talking about it until after taxes. And then we take care of healthcare.
Then we will have done tax cuts, the biggest in history; healthcare, phenomenal healthcare. I know you don’t want this — welfare reform. Does anybody want welfare reform? (Applause.) And infrastructure. But welfare reform — I see it and I’ve talked to people. I know people, they work three jobs and they live next to somebody who doesn’t work at all. And the person who’s not working at all and has no intention of working at all is making more money and doing better than the person that’s working his and her ass off. And it’s not going to happen. Not going to happen. (Applause.)
So we’re going to go into welfare reform, unless Billy doesn’t want it. Billy, am I okay in saying that I speak for you? He said, yes.
AUDIENCE MEMBER: We love you, Billy. (Laughter.)
THE PRESIDENT: You got a lot of friends out there, Bill.
Well, we’ll also cut taxes for the millions of small businesses that file as individuals, and that’s going to come out of the hopper. (Applause.) It’s getting there and it’s going to be better and better. We’re reducing the tax burden on businesses of all sizes and of every, single kind.
As a candidate, I pledged to fight for American jobs. I think it’s possibly the number one reason I got elected. And I think we’ve done a lot better, at this point, than anybody ever even thought possible. Think of that, two million jobs since the election — two million more jobs in this country since the election. Nobody expected that. Nobody expected that. Excuse me, I didn’t even expect that. (Laughter.)
But you cut those regulations and you give people spirit and incentive. And when you have the highest ratings, in terms of confidence, that the country has had in many, many years — maybe ever — things happen.
The tax cut will mean more companies moving to America, staying in America, and hiring American workers right here. So that’s so important, right? (Applause.)
Small business groups across our nation, retailers, restaurants, manufacturers, grocers, contractors support this plan. We have tremendous support for this plan. Tremendous. Because these massive tax cuts will be rocket fuel — (laughter) — Little Rocket Man — (laughter) — rocket fuel for the American economy. (Applause.) He is a sick puppy.
Cassandra Porlier — where is she? Where is Cassandra? She’s around here. Hello, Cassandra. I met you back there.
She and her mother, Teri — hi, Teri — they own a jewelry store on Main Street right here in St. Charles. They make really beautiful handmade jewelry. I got to see some of it. I would have taken it in my previous life. But now if I do, they don’t like that. (Laughter.) We’re not allowed to take jewelry, right? But they make it right here in the heartland. It’s beautiful. Our tax plan will ensure that Cassandra can keep growing her business, keep creating jobs, keep giving back to the community that she loves, and just make her more and more successful.
I assume you like that, right? Good.
Randy Schilling is also here. Where’s Randy? Randy — hello, Randy. (Applause.) He’s the founder of O.P.O. — that’s an interesting name. It’s called O.P.O. Startups and a member to dozens of small businesses in the St. Charles area. He’s a mentor. He really mentors a lot of the businesses, and he’s respected.
He also did a terrific job renovating the old post office on Main Street, something I know something about — old post offices. Did he do a good job, by the way? I hear. (Applause.)
They said yes, Randy. If he did a bad job, I’m going to stop right now and just say, good luck, Randy. (Laughter.) They said you did a good job. I know you did.
Randy knows firsthand how the high tax burden is holding America’s small businesses back, and our tax cut plan will unleash them to thrive like never before. He understands our plan, which will provide relief from the horrible, crushing, unfair estate tax, also known to many as the death tax. (Applause.)
We want to make it easier for loving families to pass on their life’s work to their children. Be nice. Be very nice, right? (Applause.)
That’s a tough one. The Democrats fight that one I think harder than any other thing that we’re doing. They fight the death tax. They don’t want it. They don’t like it. They don’t want it. It’s one of those things. But that is one of the hardest things. I have to be — I see people right here. They’re obviously very rich, and they love their children, right, in this group? (Laughter.) They love their children. They’re very rich. They want to pass on what they have without having to have the kids sell the property, mortgage up half of it. But the biggest problem we have on that one, these Democrats are being brutal. And I call them obstructionists, but they want to stop the estate tax. They want to stop the death tax from being rescinded. But we’re going to try our best on that one.
Our economy will receive another enormous boost as trillions of dollars in wealth that’s parked overseas will be able to come back to our country.
Now, this one that’s interesting because for years Republicans and Democrats agreed. You have Apple, and you have these great companies having billions and billions of dollars overseas. Now who doesn’t want the money to come back?
But to show you the lack of leadership that this country had in the past, the Republicans want it, and the Democrats want it. And nothing ever happened. You could have passed that one easy. In fact, we’re just throwing it into this bill. I could have had a separate bill on that one — I think. Don’t you agree, fellas? I could have had a separate bill on that one and gotten it passed in record time. But I figured I’d put it here because it is actually popular.
But it used to be $2.5 trillion. You know what that is? Trillion. Money you can’t bring back in. It’s prohibitive — both in complexity and in the amount of tax you have to pay. So nobody brings back in — $2.5 trillion. But $2.5 [trillion] I’ve been saying for six years. I think now it’s $4 trillion to $5 trillion. All that money is coming back into the United States, and it’s going to be invested in our country, instead of sitting and helping others. We want our own help. (Applause.)
That’s sort of an easy one. Last year, American multinational companies left more than 70 percent of their foreign profits overseas because the current tax system penalizes them for bringing that money back home. They actually get penalized. Our plan switches to a territorial tax system that encourages companies to return their profits to America — right here to the United States — where that money belongs going back to work for you. Territorial. (Applause.)
If we want America to thrive in the 21st century, then we must stop running from the competition. And instead, we must start totally winning and winning and winning again. Remember when I used to say: We’re going to win so much. We’re going to win — that the people of Missouri are going to go to your governor, and they’re going to say, Governor, please, go see the President. We can’t stand winning so much. Remember I used to say that? (Laughter.) Right? I used to say it, and that’s what’s happening. That’s what’s happening. (Applause.)
And then the governor is going to come to that beautiful historic Oval Office. He’s going to say to me, Mr. President, the people of Missouri cannot stand all this winning. (Laughter.) They don’t want to win so much. They love the old way where they had lousy job numbers, lousy economic numbers, lousy — yeah, they loved it. Please, Mr. President, please, not — and I’ll say, Governor, I don’t care what they say in Missouri, we’re going to keep winning and winning and winning. Remember? (Laughter.) That’s right. (Applause.)
I used to say that. I had fun with that. But we are winning. We’re winning again. We’re winning a lot bigger than anyone ever thought possible for such a short period of time.
For too long, our tax code has incentivized companies to leave our country in search of lower tax rates. It happens. Many, many companies — they’re going to Ireland. They’re going all over. They’re going all over Asia. But they’re stopping because they now want to take advantage of what’s happening and what we’re about to pass, hopefully.
My administration rejects the offshoring model. In other words, let’s build a factory in another country. Isn’t that wonderful? That really helps us a lot. Fire everybody, and let’s build a product, and let’s send it in, without tax, back into the United States.
That model doesn’t work for me. It never worked, and it shouldn’t have worked for any of our other past Presidents, believe me. (Applause.)
Our new model is the American model. Call it the Trump model, where we build it here. As much as possible, we build it here. Simply put, our tax plan is anti-offshoring and 100 percent worker, 100 percent worker, 100 percent pro-America. (Applause.)
Under the American model, we’re reducing burdens on our businesses as long as they do business in our country. Okay? They do business here.
Now, we love Mexico. It’s a wonderful place. But I don’t like when our car companies move to Mexico, fire everybody, build the same car in Mexico, send it through our borders with no taxes, no nothing, and we buy the car. Same price. We buy the car.
In the meantime, what do we get out of it? We get no tax and we get unemployment all over. That’s stopping. So now the plants are starting to move back. And now there’s a price to pay when they do that little number on us. (Applause.) That’s how we will all succeed and we grow together as one team, one people, as one American family. (Applause.)
This week’s vote can be the beginning of the next great chapter for the American worker.
To summarize: Our plan cuts taxes for the working and middle-income families; it nearly doubles the amount of income taxed at the rate of zero; it lowers tax rate; it expands the child tax credit; it provides relief from the estate tax, also known as the death tax; it cuts small business taxes; it reduces the corporate rate from 35 percent all the way down to 20 percent; and it provides a one-time low tax rate to return corporate money parked overseas — trillions and trillions of dollars.
This is the right plan. This is the right time. We have a moment in time. The Republicans have the Senate. The Republicans have the House. The Republicans have the White House. It’s very unusual. It’s very unusual. (Applause.)
This is our chance to free our economy from our workers — from the terrible tax burdens. We have workers that are so burdened with taxes. We’re freeing our workers from those terrible burdens.
Republicans in Congress campaigned on cutting taxes. We also campaigned on repeal and replace. It’s going to happen. It’s going to happen. Take your time, it’s going to happen — going to happen. (Applause.)
Many Democrats have promised tax cuts that don’t mean anything because they really want major tax increases. Senator Claire McCaskill — have you ever heard of her?
AUDIENCE: Booo —
THE PRESIDENT: — is doing you a tremendous disservice. She wants your taxes to go up. She’s weak on crime, she’s weak on borders, she’s weak on illegal immigrations, and she’s weak on the military. Other than that, I think she’s doing a fantastic job. (Laughter.)
But now comes the moment of truth. In the coming days, the American people will learn which politicians are part of the swamp and which politicians want to drain the swamp. (Applause.)
If you make your voices heard and call up your congressmen — and they’ve been terrific — and call up your senators — and they have been totally terrific. Most of them have been incredible. They really are. They’re friends of mine. They’ve been incredible.
But, it doesn’t take much. That’s why we need more. We need to have a larger number. But most of them have been incredible. But call your senators. Call you congressmen, because we have no choice. We have to act. We have to act as a country. This isn’t good for the Republican Party; this is good for the country and that’s ultimately what’s it all about. (Applause.)
So, this week, hopefully, the Senate can join the House and take that strong stand for middle-class families and for business, and for jobs, and for competition, and for bringing money back. Together, we will give the American people a big, beautiful Christmas present. (Applause.)
And remember, I was the one — when I was here last time, I said, we’re going to have Christmas again. I was the one that said, you go to the department stores and you see “Happy New Years,” and you see red, and you see snow, and you see all these things. You don’t see “Merry Christmas” anymore.
With Trump as your President, we are going to be celebrating Merry Christmas again, and it’s going to be done with a big, beautiful tax cut. (Applause.)
Thank you everybody. God bless you. Thank you. Thank you everybody. Thank you very much.