Trump Individual Tax Plan To Have 3 Brackets: 35%, 25%, & 10%

Tyler Durden's picture

As the minutes tick by ahead of the announcement of "the greatest tax cut in human history," we are getting more information on the personal tax rates (something Treasury Secretary Mnuchin failed to mention earlier). As Fox News reports, in addition to raising deductions, the Trump administration will collapse the current seven-tier bracket system into just three tax brackets under the new plan, taxed at rates of 35 percent, 25 percent and 10 percent.

As Fox News reports, President Donald Trump’s tax plan, which will be unveiled Wednesday, calls for a sizable increase to the standard deduction Americans can take when filing taxes, potentially allowing taxpayers to keep more of their income – to the tune of a couple thousand dollars, White House sources told Fox News.

A piece of the proposed tax overhaul would nearly double the standard deductions that both individuals and families can claim on their returns, Fox News reported. Under the proposal, the tax cuts for individuals and married couples filing separately will increase from $6,300 to $12,600. The standard deduction for a married couple filing jointly will jump from $12,700 to approximately $24,000.

 

White House sources also said the plan would eliminate the marriage penalty.

 

In addition to raising deductions, the Trump administration will collapse the current seven-tier bracket system into just three tax brackets under the new plan, taxed at rates of 35 percent, 25 percent and 10 percent... this is slighlty different than Trump’s previously proposed tax rates were 33 percent, 25 percent and 12 percent.

We look forward to hearing from Mnuchin and Cohn in an hour on the details... and of course any guesstimate at whether this will pass.

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Looney's picture

 

Minutes ago, President Trump signed the “National Monuments” Executive Order, authorizing the re-naming and re-facing of Mount Rushmore National Memorial.

The existing four sculptures will be re-carved into the Four Donald Trumps.

The name of the Monument will be changed to “Mount Trumpmore”.  ;-)

Looney

Xatos's picture

You're an idiot. Your total bias against Trump does nothing for the pursuit of truth. Open your eyes and be objective.

Soul Glow's picture

Oh c'mon, admit it was funny.

Xatos's picture

Funny? He's not even on topic as usual. Contributes nothing to the conversation.

Sweet Chicken's picture

I hate to point out the obvious but......his name is LOONEY. ;)

Looney's picture

 

Xatos, for almost two years, I cracked a new joke about Hillary’s Pantsuits, without ever repeating them.

Now she’s gone. Trump is the President. You can keep applauding everything he does – that’s fine with me!

He lost MY support with the launch of the Tomahawks. So, please, skip my posts and save yourself the agitation. Would you?

Looney

Xatos's picture

If he lost your support over Syria, a situation in which he clearly won, defeated the Russian narrative and helped further destroy the liberal party while suffering zero losses (even Putin is retracting from Syria now not to mention that's when Xi backed off support for NK and started buying US coal) then you really are an idiot.

 

Dumbass. 

MANvsMACHINE's picture

Xatos,

When you disrespect Looney, you disrespect all of us...and Looney is NOT an idiot.  He's just a little loony.

PS: He ain't a Dumbass either.

Looney really appreciates all of the winning Trump, and we, are doing.  

 

EmmittFitzhume's picture

Aaaand Looney's got seniority. Fuck off Xatos

Got The Wrong No's picture

That has to be the dumbest post I ever read at ZH and all the sheep up vote it. This place has become a joke. Jump off the bridge together Morons. Seniority, LMAO

EmmittFitzhume's picture

We are looking for a little levity in this fucked up world but you new comers still have a corn cob up your asses.  So you can fuck off too douche bag.

Got The Wrong No's picture

Right back at you Ass Hole. Besides that, I have been a ZH reader for over 6 years. 

Got The Wrong No's picture

Sheep are so predictable. They think they are free thinkers but so eager to prove otherwise. Jump over the edge losers. 

Troll Magnet's picture

Xatos,

your blind support for your first Jewish president Trump is more toxic and dangerous than anything Looney ever had to say.  Truth my fucking ass. 

 

 

 

FUCK OFF!

mayhem_korner's picture

Been a while since I've seen some good ol' Fight Club carnal instincts.  Maybe Flakmeister would pay a visit and really stir things up.

iamrefreshed's picture

Careful who you call newcomer. There's always someone who can beat you :)

 

11b40's picture

Yep. You just beat me......by 6 weeks.
Good on ya!
;-)

11b40's picture

You have not been reading the posts long enough.  

JRobby's picture

Further fine tuning of an unconstitutional "law"

JRobby's picture

That really depends on who is keeping the time doesn't it? (a hallmark of "effective governance" BTW!)

Crash Overide's picture

Fuck the IRS

Fuck the FED

Fuck the Deep State

Fuck Trump

Seriously the United States government does not represent the people.

Prove me wrong.

Bigly's picture

Ya. That 4th one down seems to become more apparent everyday

cheka's picture

where's capital gains?  the REAL income (as wages are NOT income)

Bigly's picture

If my deductions are eliminated, i had better fall in at 10%.  Most people better be 10%

cheech_wizard's picture

Next thing you know we will be unionizing...

Standard Disclaimer: What was this article about again?

Squid Viscous's picture

what the fuck, Hannity is that you?

or maybe Hannity's teenage son who's not so great with grammar, syntax, or spelling?

blue51's picture

I say....tax EBT and clueless posts .

MsCreant's picture

You just lost my support/sympathy.

Read my lips: THERE IS NO REASON THAT HAS INTEGRITY FOR US TO BE IN SYRIA, AT ALL. If we "win" that, we still lose. 

 

Dumbass

Anarchyteez's picture

Can't we all just get along?

Nope!

This is Fight Club!

AGuy's picture

"If he lost your support over Syria, a situation in which he clearly won, defeated the Russian narrative and helped further destroy the liberal party while suffering zero losses (even Putin is retracting from Syria now not to mention that's when Xi backed off support for NK"

1. The last think the USA needs to deal with is another basket case Country like Syria. Better to let Putin deal with Syria than for the US to spend lives and Treasury in another pointless war.

2. Trump is saber rattling with NK. Trump does not need to engage war threats over NK to get China to act. China has always been buying US Coal. Its nothing new. China cut back on foriegn Coal purchases when its industrial steel expansion imploded since it has over a million tons of steel in inventory (too much production for demand)

3. Trump flip-flopped on NATO and has made Russia into the next target. The US has run out of small\easy countries to invade and now he is setting his eyes to topple Russia, NK and Iran at the same time.

4. You become attached at the hip with Trump, no different that those that supported Hitler in 1930s or Stalin or Mao. Its important to always remain objective to any political party and avoid becoming engulfed in Political fervor.

SgtShaftoe's picture

Who would downvote that? I'm not sure on item 3 but that doesn't mean I think you are wrong, I'm just not sure yet.

AGuy's picture

On Item #3:

During Campaign Trump stated that NATO is obsolete, that he was OK with Russia in Crimea and that the US should work with Russia to fight terrorism. After election, Trump stated that Russia needs to Exit Crimea to get US sanctions lifted, NATO is important and the USA has abandoned cooperation with Russia on Terriorism. The USA is also pouring Miltary equipment and Troops into Eastern Europe. US move Nukes from Turkey into Romania (closer to Russia) Trump increased US miltary Spending by 8%.

l8apex's picture

So Xatos, please tell us why we're in Syria to begin with.  How does that serve your interests, or those of any American citizens?

malek's picture

"the Russian narrative"

Which, the one dispersed by the MSM?

SILVERGEDDON's picture

Xatos - your lack of a sense of humor, combined with your smoking the right hand pipe straight out of the outhouse are serious issues - AA has a 10 step program that may detox you, but it better be fast - you are on the verge of going full retard. 

Mister bigly tremendous MAGA delicious Marmalade Jesus is a flip flopping lying sack of shit in bed with his masters - not the game changer he campaigned as, or the man we voted for.

If the first 100 days are any indication, by the time his first term is up, we will all be living in FEMA camps, making green crackers and soap out of the senior members so they don't crowd the food supply. 

If you actually believe the hype, God bless you, and, I have a bridge in Brooklyn for sale, cheap.  

ParkAveFlasher's picture

It's best not to turn Obama-grade constituent lunacy into Trumpphoria

Beam Me Up Scotty's picture

FLAT TAX!!!  Business spends FAR FAR to much on tax preparation!!!  They would probably save more than the damn tax cut in tax preparation and accounting expenses!!!   Simplification will save BILLIONS and not at the expense of government revenue!!

new game's picture

accountants have a lobby too. they luv this complication! same with tax lawyers...

SgtShaftoe's picture

Rent seeking is a bitch.

Knobbius's picture

The total amount of money spent on tax compliance in this country is hard to estimate, because so much of it is in the form of free labor (i.e. every poor schmuck that does their own taxes).  Most estimates start at about 1% of GDP (i.e. 180 billion dollars a year), and head up from there.  I'd be willing to bet that when individuals' time is valued correctly, and when all the complexities are factored in, we probably spend closer to 2% of our GDP just interpreting, complying with, and creating strategies to duck the tax code.  So not a billions problem, a hundreds of billions problem...

MEFOBILLS's picture

Russian flat tax rate is 13%, and they seem to make it work.  But, in general a flat tax is a bad idea.  When somebody like Steve Forbes shills for a flat tax, then warning bells should go off.  VAT taxes also are bad because they tax stages of production.

Any sort of income tax is bad, as it taxes wealth production.  Taxes should land on those things that destroy production.  Georgist taxes on land prevent bankers from capitalizing loans with usury.  For example, if you bid on an appartment complex, the winner is that person most willing to go into debt, and then pass the loan cost onto tenents in the form of higher prices.  Usury on the loan goes to the banker.  Then, finance turns around and demands income taxes on the public, while allowing interest income to be deducted.  Bankster finance likes income taxes as part of their control strategy.

Get it.  Income taxes are part of class war, where parasites and predators want to keep labor under the thumb.  Labor is not supposed to be able to save their money, as the money is to be inflated away, or taken away in the form of taxes, or taken away in the form of usurious debt payments.  This then preserves the control pyramid.

There are rent schemes aplenty in the economy.  Front running on financial trades is allowed, which steals from savers.  Any capital gains on these trades is treated more kindly than hard won "labor" income.  There are accelerated depreciation schedules on buildings, when buildings actually increase in site value.   It is not unusual for a class of landlords to pay no taxes at all.  Leona Helmsley is a perfect example:

https://www.youtube.com/watch?v=aGQZz7ESXWE

Classical economists and georgists have figured out where taxes should be applied.  Yet, nobody even nods in their direction.  

Let's also not forget that 16'th ammendment is unconstitutional.  Income taxes are an unapportioned tax - completely against the wishes of founding fathers.  All court cases that go to the upper courts uphold unconstitutionality of 16'th.  The lower courts uphold income taxes on the basis of case law, you know- because we have been doing it for awhile and that is just the way it is.  Pay up, or men with guns will be at your door.

 

AGuy's picture

"FLAT TAX!!! Business spends FAR FAR to much on tax preparation!!!"

You mean Double taxation. In the "Flat Tax" Model uses a national sales taxes, which would open the door for double taxation:

1. Income tax & Sales Tax - Either they will need a transistion period with both income and Nat Sales Tax which the income tax never goes away - broken promise
2. The later bring back the income tax at a later date.

cheech_wizard's picture

If only those pesky Russians would hack the IRS... why it would look like this...

http://www.tradingeconomics.com/russia/personal-income-tax-rate

PenchantForHoarding's picture

Was a dedicated fan of the pantsuit routine.  Very clever and chuckle-worthy.  The cankles bit as well.  Is there a way to bring those back?

Wit and levity are good things!

 

IronSights on'um's picture

bottom line....we're still gonna syphon wealth from you.