U.S. Outlook: Trump tax plan grabbing headlines
This week top Trump officials and congressional Republican leaders released a nine-page framework on tax reform on which they agree.
For more on this, see highlights of my report below, followed by a link to the full U.S. Outlook, delivered on Sept. 29.Key observations:
- Under the current plan most wealthy households and nearly all U.S. businesses — small and large — will see substantial tax cuts.
- Businesses will also be able to write off their investments right away instead of incrementally over several years.
- The plan also calls for reducing the numbers of personal income tax brackets from seven to three, with three tax rates of 12%, 25%, and 35%.
- Can we boost the U.S. economy’s growth rate enough to pay for the tax cut? Not likely.