What will compel Indy’s and Moderates to want to send their Trump tax breaks to illegal aliens and the like?
Since there was no corresponding spending cuts, the tax 'breaks' were really just us borrowing money to put in our pockets. It still needs to be paid back. There is no free lunch.
The US Treasury took in record tax revenues as a direct result of the tax cuts. This is what businesses with successful business models do....they spend to gain...You wouldn’t understand this rudimentary capitalist principle though.
Here are some more examples that don't understand this rudimentary capitalist principle either:
Did the TCJA spur enough growth to maintain federal revenue levels?
While some TCJA supporters observe that nominal revenues were higher in fiscal year 2018 (which began Oct. 1, 2017) than in FY2017, that comparison does not address the question of the TCJA’s effects. Nominal revenues rise because of inflation and economic growth. Adjusted for inflation, total revenues
fell from FY2017 to FY2018 (Figure 1). Adjusted for the size of the economy, they fell even more.
So did the TCJA pay for itself?
The TCJA did not pay for itself, nor is it likely to do so in the future. There are many debates to have about the TCJA, but whether it raised or reduced revenues in 2018 should not be one of them.
Did the Tax Cuts and Jobs Act Pay for Itself in 2018?
Were you surprised that the 2017 tax overhaul, commonly referred as the
Tax Cuts and Jobs Act (TCJA), did not increase revenues in 2018? Probably not, but several prominent conservatives, including Republicans in the
House and
Senate, former Reagan economist
Art Laffer, and members of the
Trump Administration, would be disappointed if they looked at the data. They have repeatedly claimed that TCJA either
increased revenues or will pay for itself.
In principle, a tax cut could “pay for itself” if it spurred substantial economic growth. Revenues would rise from the combination of higher wages and hours worked, greater investment returns, and larger corporate profits. Under this scenario, that “dynamic” effect would more than offset the entire “static” revenue loss of the tax cut.
TCJA, however, is not that tax cut. While some TCJA supporters are touting that nominal revenues were higher in fiscal year (FY) 2018 than in FY2017, that comparison does not address the question of TCJA’s effects. Nominal revenues rise because of inflation and economic growth. Adjusted for inflation, total revenues
fell from FY2017 to FY2018 (Figure 1). Adjusted for the size of the economy, they fell even more.