Donald Trump’s Tax Plan – Friend or Foe?
Many of us still aren’t over the initial shock that followed Donald Trump’s announcement that he was running for president. With that said, there was hope that the business mogul’s ideas on taxation would put more money into the American people’s pockets. Though Trump’s official tax plan is expected to be released sometime in the upcoming weeks, there are a few things we can make an educated guess on.
The most important area of concern for voters is whether or not Trump’s tax plan is really going to benefit U.S. citizens. In many ways, Trump’s ideas appear to favor Americans across all income level. But is there more to the Trumpster’s tax stance than meets the eye? Let’s take a closer look.
First of all, Trump has stated his support for a tax cut for the middle-class. Several other presidential hopefuls have made it known that they plan on introducing greater tax credits for families with children. Yet, true to form, Trump is marching to the beat of his own drum on this particular issue. Trump has already made it clear that he does not favor tax credits. In fact, in previous talks about the matter, Trump has stressed that he believes tax credits should be completely eliminated, and instead, the focus should be on lowering tax rates altogether. This could turn out favorably for the majority of middle-income households, especially those who do not have children, as a greater number of taxpayers stand to benefit. Trump’s tax plan could very well consist of an overall reduction in the tax rates for those who fall into these tax brackets.
Ok, so what of the wealthy? It’s no secret that Trump is pretty well off financially (to say the least). We can’t imagine him proposing a tax plan that won’t encompass at least some form of tax relief for higher-income households and business owners. Now, exactly to what extent he’ll offer the wealthy a tax break is anyone’s guess. He’s often made conflicting statements regarding taxes for upper-income taxpayers, going as far as to note that it is “outrageous” that some of the wealthy pay so little in taxes. Trump may just keep the focus on lowering corporate taxes instead of personal income taxes for higher earners. Then again, he may just turn around and do the exact opposite of everything he’s been insinuating at doing. Only time will tell. Consumers and business owners will just have to wait patiently until the Republican candidate releases his official tax plan.
If Trump is elected president, which could very well happen, it would certainly be in any taxpayer’s best interest to consult with a credited tax attorney to ensure they are in full understanding of what changes they are to expect. Calculating taxes, tax breaks, tax credits, and any other IRS matter is complicated enough as it is, but if a complete tax overhaul ensues, citizens would do well to consult with an experienced tax lawyer who can point out what benefits and/or downfalls they can expect.