Page 171 - TrumpsEconEra_Flat

Trump’s Economic Era

getting a tax break of only $800,000 because of
inflation. If they can write the one-million-dollar
investment off in year one, they receive the whole $1
million as a deduction. This difference substantially
raises the future returns on new plants and equipment.
The small business tax rate will drop to 25%, the
lowest since the 1930s. The corporate tax rate will drop
from 35% to 20%. Trumps’ plan would reduce the
number of tax brackets from seven to three (12%, 25%,
33%) and cut the U.S. corporate tax rate to 15% from
35%.

Future Taxes
President Trump’s tax plan will eventually:

• Rewrite tax regulations so Americans can
complete taxes on a single page.

• Get rid of double taxation, including the death
tax and the taxes on foreign profits.
• Eliminate itemized and state and local
deductions.

REGULATIONS
President Trump plans on replacing the
Affordable Care Act and curtailing job-killing
regulations. Whatever changes Congress makes, it is
going to be messy. Under the Affordable Care Act,
hospitals agreed to reductions in payments from seniors
and lower-income people in exchange for expanded
coverage because the additional customers increased
their revenue. If Congress ever repeals Obamacare and

-170-