Jeb Bush targets the carried interest loophole

[Winehole23]

Republican presidential candidate Jeb Bush will propose raising taxes on some private equity and hedge fund managers -- normally a favorite target of liberals -- while calling for significantly lower individual and corporate tax rates as part of a tax code rewrite he plans to release tomorrow.


Bush's move on the tax preference, known as “carried interest” is surprising, though front-runner Donald Trump has harshly criticized the same provision in the tax code. Meanwhile, the tax cuts Bush will propose are sure to appeal to traditional supply-side conservatives.




The top corproate tax rate would fall to 20 percent under his plan, lower even than what House Republicans have proposed. The current top rate is 35 percent.


Bush will also propose so-called full expensing for businesses. That means companies would be able to immediately write off the cost of their investments instead of having to drag those over a number of years. Though obscure, that’s nearly as important to some supply-side conservatives as lower marginal rates, because it’s believed to be important to long-term economic growth.
Read more: http://www.politico.com/story/2015/09/jeb-bush-tax-plan-hits-wall-street-213422#ixzz3lFXNRc19

[boutons_deux]

ha ha echoing Donny T on carried interest

grovelling for BigCorp $Ms by proposing the trickle down proven bullshit lie of (corporate) tax cuts.

[Winehole23]

monkey see monkey do for sure, but it's newsworthy that the carried interest loophole is becoming thematic on the GOP side.

[boutons_deux]

monkey see monkey do for sure, but it's newsworthy that the carried interest loophole is becoming thematic on the GOP side.

yes, interesting the Trump mentioned it. Probably 95% of Americans have no idea what it is, so what's the point of campaigning on it? My bet is that it won't be mentioned , nor touched, after 21 Jan 2017.

[Winehole23]

you can't predict for shit, boutons

[boutons_deux]

you can't predict for shit, boutons

evidence?

[Winehole23]

you can remind me when one comes true. hasn't happened yet.

[Winehole23]

prediction is a fools game and you're worse than most.

[boutons_deux]

you can remind me when one comes true. hasn't happened yet.

evidence?

[boutons_deux]

JEBs tax plan is huge cuts for 1% and corps, crumbs for everybody else. trickle down bullshit? pay for lost revenue? very probably cut safety net.

[boutons_deux]

Despite Nod To Populism, Jeb Bush’s Tax Plan Is Mostly A Giveaway To The Rich


Giveaways to corporations

Bush proposes lowering the corporate tax rate, currently 35 percent on paper, to 20 percent. As Bush himself notes, that is lower than China’s corporate tax rate. It’s also lower (http://www.politico.com/story/2015/09/jeb-bush-tax-plan-hits-wall-street-213422) than what House Republicans have proposed and even lower than what Mitt Romney proposed (http://taxpolicycenter.org/taxtopics/Romney-plan.cfm) when he ran for president.

But while the corporate tax rate is currently higher than what Bush proposes, that doesn’t mean that’s what corporations actually pay. The effective rate for the biggest companies is actually under 20 percent (http://thinkprogress.org/economy/2014/02/28/3345951/ctj-report-corporate-tax/) thanks to loopholes, tax breaks, and accounting schemes, while many pay nothing at all (http://thinkprogress.org/economy/2013/10/25/2840141/10-percent-americas-largest-companies-pay-percent-tax-rates/). Further lowering rates isn’t likely to improve the economy, either. An analysis by the Economic Policy Institute found no evidence (http://www.epi.org/publication/ib364-corporate-tax-rates-and-economic-growth/) that high corporate tax rates hurt economic growth; by contrast, corporate profits continue to hit record highs under the current regime. In fact, the corporations that pay the highest effective tax rates create more jobs (http://thinkprogress.org/economy/2013/12/04/3017571/corporate-taxes-jobs/) than those that duck taxes.

At the same time, Bush proposes a so-called tax repatriation holiday, which would levy a one-time tax of 8.75 percent on profits that American corporations have sitting overseas in order to entice them to invest that money in the U.S.

But such a plan was tried before (http://www.cbpp.org/research/repatriation-tax-holiday-would-lose-revenue-and-is-a-proven-policy-failure), in 2004, and it was ineffective: The companies largely returned the money from that holiday to shareholders, rather than putting it into investments like hiring or equipment, and many ended up laying off large numbers of workers. The Congressional Joint Committee on Taxation has estimated that a second holiday would cost $96 billion over ten years.

Lower tax rates, including for the rich

Bush says he wants to simplify the tax code and would do it in part by cutting the number of tax brackets from the current seven down to three: 28 percent, 25 percent, and 10 percent. Right now, the top rate is 39.6 percent, so his plan would reduce that by nearly (http://www.vox.com/2015/9/8/9285421/jeb-bush-tax-plan) a third. Bush says that 28 percent top rate would return it to where it was after President Reagan’s 1986 tax cuts.

Bush’s tax proposal aims to spur economic growth to 4 percent a year. But lower taxes won’t necessarily do the trick. Post-war American growth has generally been (http://thinkprogress.org/economy/2012/04/24/469864/economists-higher-tax-rate-growth/) higher (https://www.americanprogress.org/issues/tax-reform/news/2011/06/20/9841/the-myth-of-the-lower-marginal-tax-rates/) during periods when the top marginal tax rate was also higher and lower when tax rates were substantially lower. In the 1950s, when the top rate was more than 90 percent, growth averaged more than Bush’s 4 percent annual target. But in recent years, with the top rate closer to 35 percent, growth has averaged at less than 2 percent a year.

Tax breaks for the wealthiest

Bush would end the estate tax, or what he calls the “death tax.” The estate tax affects money passed down through wealthy families and only applies to the very richest: just the wealthiest 0.14 percent (http://www.cbpp.org/cms/?fa=view&id=2655) of Americans pay any estate tax. The rate has been dramatically lowered over recent decades and thresholds were raised so that it applies to far fewer families than it used to. Many rich families have found creative ways to avoid paying the tax; the effective rate for those who owe the tax is 16.6 percent. While nearly $60 trillion will be transferred to heirs and charities over the next 55 years, less than 10 percent (http://thinkprogress.org/economy/2014/05/30/3443407/estate-tax-59-trillion-wealth-transfer/) of it will go to estate taxes.

Even so, the estate tax is a relatively large source of revenue for the government: it’s expected to generate $246 billion between 2016 and 2025. It is also one of the most progressive elements of the American tax code, since it affects those most able to pay and helps fund programs the rest of us rely on. As the Center on Budget and Policy Priorities warns (http://www.cbpp.org/research/ten-facts-you-should-know-about-the-federal-estate-tax?fa=view&id=2655), “If the estate tax were further weakened or repealed, other taxpayers would have to foot the bill for these programs, face cuts in the benefits and services provided, or bear the burden of a higher national debt.”

Bush’s plan would also cut tax rates on capital gains income and dividends to 20 percent, although it would close a loophole that allows some, like hedge fund and private equity managers, to claim the lower capital gains rate on they money they make at their jobs. Capital gains, or investment returns, are subject to a top tax rate of 23.8 percent (https://www.americanprogress.org/issues/tax-reform/report/2014/06/25/92656/how-the-government-subsidizes-wealth-inequality/), compared to the top 39.6 percent rate on income. The benefit of that lower rate flows almost entirely to the wealthy: nearly 70 percent of the money saved in lower taxes goes to the top 1 percent of income earners, while just 7 percent goes to the bottom 80 percent. Economists have called this lower tax rate “by far” (http://thinkprogress.org/economy/2013/02/20/1616651/capital-gains-tax-cuts-by-far-the-biggest-contributor-to-growth-in-income-inequality-study-finds/) the greatest contributor to the growth in income inequality.

Bush’s plan has some more progressive elements. It nearly doubles the standard deduction that filers can take and expands the Earned Income Tax Credit, which, while just about $3,000 on average for each family, lifts (http://thinkprogress.org/economy/2014/04/15/3426956/eitc-stories/) about 6.5 million people out of poverty. He says his reforms will mean that about 15 million people don’t owe any income taxes, which would mostly be the lowest-income Americans. He wants to eliminate the marriage penalty, which penalizes (http://thinkprogress.org/economy/2014/03/17/3411681/irs-marriage-penalty-pay-gap/) many couples where both genders earn equal amounts, although doesn’t say how he would do it. And he would cap deductions for high earners.

http://thinkprogress.org/economy/2015/09/09/3699561/jeb-bush-tax-plan/

JEB doesn't out-Ryan Ryan, but he's in the same vein of enrich/enable/protect BigCorp and 1%. The ensuing deficits will then "justify" cutting the safety net, science, research, infrastructure.

[Winehole23]

evidence?seriously, you're asking for proof that you suck?

[boutons_deux]

seriously, you're asking for proof that you suck?

RIF I'm asking for evidence of your claim that my predictions suck.

[boutons_deux]

In fact, a particularly pernicious feature of the proposal would end the deductibility of state and local taxes – effectively penalizing people who live in states where higher taxes are used for higher levels of investment in education, infrastructure and other public programs.

Elimination of the employer portion of the Social Security payroll tax for workers who have reached retirement age but choose to remain in the workforce. Steps like this to slow the revenue going into the Social Security trust fund are a sure sign that Bush is bent on joining the conservative push to reduce Social Security benefits.

But the big number to remember is $3.4 trillion. That is the revenue that the federal government would lose if the Bush tax plan is implemented over 10 years. Add a dash of voodoo – promises that the foregone taxes collected will be invested in businesses and job-creation, thus accelerating economic growth – and the federal government will still see an increase in federal debt over 10 years of $1.2 trillion, according to Bush’s economic team.

http://ourfuture.org/20150910/jeb-bushs-voodoo-economics-same-as-the-old-one?utm_source=progressive_breakfast&utm_medium=email&utm_campaign=pbreak

Same old trickle down doodoo economics as proposed under St Ronnie. Trickle down has never worked (for the 99%).

[Winehole23]

RIF I'm asking for evidence of your claim that my predictions suck.this was a funny one:

http://www.spurstalk.com/forums/showthread.php?t=209101&page=9&p=7868461&viewfull=1#post7868461

[boutons_deux]

this was a funny one:

http://www.spurstalk.com/forums/showthread.php?t=209101&page=9&p=7868461&viewfull=1#post7868461

ha ha, that was a very reasonable prediction. House Repugs and state Repugs have introduced 100s of bills and amendments attacking LGBT, abortion.

After this week's Repugs hearings (to which PP was not invited) based on the totally bogus vids, I expect Repugs to propose, attach "defend PP" to anything they can, eg, budget, and fundits say chance of shutdown over budget and/or PP are 50%+

got anything else? or is that the only one?

[Winehole23]

you asked for evidence your predictions suck, I gave you evidence.

you got any evidence your predictions are reliable?

[TeyshaBlue]

:lmao

[boutons_deux]

you asked for evidence your predictions suck, I gave you evidence.

you got any evidence your predictions are reliable?

they all are, you made the claim, you back it up

and TB :lol always ready to pile on like any chickenshit.

[CosmicCowboy]

Seriously, I wonder what this guy is like in the real world. It's like we are being tolled by somebody locked up at the State Hospital.

[TeyshaBlue]

This bbs its nothing more than a self-validation exercise for the little fucknut.

[boutons_deux]

This bbs its nothing more than a self-validation exercise for the little fucknut.

y'all rightwingnuts still can't take my bitch slappings like little bitches. Most of my stuff is throwing your rightnut pols' shit in your face. deal with it :lol

[TeyshaBlue]

Your shit is exactly that....shit.
:lmao "bitch slappings"

[Winehole23]

y'all rightwingnuts still can't take my bitch slappings like little bitches. Most of my stuff is throwing your rightnut pols' shit in your face. deal with it :lolI mentioned one wrong prediction of yours. Can you mention one that was right?

[Winehole23]

http://time.com/4030664/jeb-bush-tax-plan/

[boutons_deux]

http://time.com/4030664/jeb-bush-tax-plan/

yep, politicians enacting tax cuts for the wealthy are enacting tax cuts for themselves, essentially voting themselves $Ms tax free.

Becoming wealthy, or more wealthy, is a major, perhaps primary reason to run for Congress.

[Winehole23]

so then, you've no evidence you ever got one right.

so noted.