Mobile Menu - OpenMobile Menu - Closed

Ten Ways the Republican Tax Plan Scams American Families So the Rich Can Get Richer

Nov 15, 2017

Originally published Nov 9, 2017; updated Nov 15, 2017

Download PDF »

The Republican tax plan is not just a huge giveaway to the wealthy – it is a scam perpetrated by the GOP on millions of American families.

The core of this plan is a massive tax cut for corporations, but that is not the only way that the wealthy win big. Here are some of the ways the rich get even richer:

1. Raises taxes on millions of middle-class families ― Analysis shows that millions of middle-class families will face tax increases next year, and millions more in ten years.

2. Corporations get permanent tax cuts, families get question marks ― Corporations get permanent tax cuts worth hundreds of billions of dollars, while a $300 credit for families disappears after just five years.

3. Abandons families that face natural disasters or high medical costs ― The Republican plan abandons families facing a natural disaster or costly medical bills by repealing deductions for casualty losses and medical expenses.

4. Increases the costs of student loans ― It eliminates the deduction for student loan interest, impacting 12 million borrowers, and cuts total education assistance by more than $64 billion.

5. Could make your home less valuable ― Experts predict the plan could drive down the value of homes, as deductions for mortgage interest and property taxes become less valuable.

The core of this plan is a massive tax cut for corporations, but that is not the only way that the wealthy win big. Here are some of the ways the rich get even richer:

6. Massive tax cuts for corporations ― Wealthy corporations get an immediate, massive tax cut, which results in billions more for wealthy shareholders and rich executives.

7. Rich estates do great ― The 5,500 multimillion dollar estates which should pay the estate tax get a huge tax cut right away, and then full repeal in just a few years.

8. Huge new tax loophole for passthroughs — Wealthy passthrough owners get their top tax rate cut by up to one-third, costing more than $400 billion.

9. Millionaires still win big through individual income taxes — By raising the top income tax bracket by more than half a million dollars and repealing the Alternative Minimum Tax (AMT), millionaires get a huge cut in individual taxes.

10. Protects tax loophole for hedge fund managers — By protecting the carried interest loophole, many of Wall Street’s wealthiest money managers will continue paying a lower tax rate than middle-class families.

This is just step one of their three-step plan to give to the rich and make American families pay for it :

  • Step 1 : Cut taxes for the rich, and claim that economic growth will pay for it.
  • Step 2 : Pretend to be shocked when the deficit explodes; insist that the only way to fix it is through more spending cuts.
  • Step 3 : Cut important benefits for American families, like Medicare, Social Security, and education assistance, while doing nothing to make millionaires pay their fair share.