| VOICEOVER: What does electing Donald Trump president mean for you? Families making $60,000 a year? You get a 20% tax rate reduction.
SUPER: Donald J. Trump Tax Plan, DonaldJTrump.com |
MILLIONS OF FAMILIES, INCLUDING SINGLE PARENTS, WOULD SEE TAX INCREASES UNDER TRUMP’S TAX PLAN
Washington Post: “More Than Half Of America’s Single Parents And One-Fifth Of Its Families With Children Could See Their Federal Income Taxes Go Up Under Republican Donald Trump’s Revamped Tax Plan.” “More than half of America’s single parents and one-fifth of its families with children could see their federal income taxes go up under Republican Donald Trump’s revamped tax plan, according to a new analysis of the plan by a New York University professor who previously served as a tax specialist for the Obama administration and the Senate Finance Committee.” [Washington Post, 9/24/16]
Washington Post: “The Analysis Estimates That More Than Half Of Single Parents Would See Tax Increases.” “The analysis estimates that more than half of single parents would see tax increases, because Trump eliminates what is called ‘head of household’ filing status, which gives single parents a higher standard deduction and lower rates than they otherwise would have had. Other researchers have also flagged that possibility. ‘Single parents get hit with all three of the tax increases under Trump’s plan’ — the loss of personal deductions, the loss of head-of-household status and higher rates on some income — said Harry Stein, the director of fiscal policy for the liberal Center for American Progress Action Fund, who has written about the potential effects of the Trump plan.” [Washington Post, 9/24/16]
POLITIFACT SAID IT WAS TRUE TO SAY EXPERTS FOUND TRUMP’S TAX PLAN COULD RAISE TAXES ON SOME MIDDLE CLASS FAMILIES
PolitiFact Said Hillary Clinton Was Correct In Saying Independent Experts Found Trump’s Tax Plan Would Add $5 Trillion To The Debt And Disadvantage Middle Class Families. “Clinton said that, according to ‘independent experts,’ Trump’s tax plan ‘would blow up the debt by over $5 trillion and would in some instances disadvantage middle-class families compared to the wealthy.’ Batchelder’s past work for Senate Democrats and the Obama White House may lead some to question whether she is an ‘independent expert.’ But her estimate of the debt increase was mirrored by findings by the more conservative Tax Foundation and the deficit-hawk Committee for a Responsible Federal Budget. And the Tax Foundation said Batchelder’s analysis of tax increases for some families seemed ‘reasonable.’ We rate Clinton’s statement True.” [PolitiFact, 9/27/16] |
| VOICEOVER: Working moms? You get paid maternity leave and an average $5,000 childcare tax reduction. |
TRUMP’S MATERNITY LEAVE POLICY WOULD LEAVE OUT SINGLE MOTHERS, FATHERS AND ADOPTIVE PARENTS
Ivanka Trump Said Her Father’s Paid Maternity Leave Was Meant To Help “The Mother Who Has Given Birth To The Child If They Have Legal Married Status Under The Tax Code.” Q: “OK, so when it comes to same-sex—” IVANKA TRUMP: “So it’s meant to benefit, whether it’s in same-sex marriages as well, to benefit the mother who has given birth to the child if they have legal married status under the tax code.” Q: “Well, what about gay couples, where both partners are men?” IVANKA TRUMP: “The policy is fleshed out online, so you can go see all the elements of it. But the original intention of the plan is to help mothers in recovery in the immediate aftermath of childbirth.” [Cosmopolitan, 9/14/16]
Trump’s Plan Specifically Provides Leave To Mothers, Not To Fathers Or To Those Who Need Paid Leave To Care For A Seriously Ill Family Member. “What about dads? The plan applies to women — specifically, mothers. It doesn’t apply to fathers or those who have to care for a family member with a serious illness, unlike the existing federal legislation. ‘Trump frames it as maternity leave. We don’t target a specific gender under the family paid leave program in the U.S. It’s available to a families as a whole,’ noted Mathur.” [NBC News, 9/14/16]
TRUMP’S CHILD CARE PLAN PROVIDES A DEDUCTION UP TO A STATE’S AVERAGE COST OF CHILD CARE – NOT A REDUCTION OF $5,000
Trump Campaign: “The [Childcare] Deduction Would Be Limited To The Average Cost Of Child Care… The Deduction Would Be Limited To $5,000 Per Year.” “The exclusion would apply to a variety of different kinds of childcare—institutional, private, nursery school, afterschool care, and enrichment activities—affording choice to parents. The deduction would be limited to the average cost of childcare in the state of residence for the age of the child. […] Similarly, the Trump plan would also allow an above-the-line deduction for eldercare costs necessary to keep a family member working outside the home. It would apply to costs like home care or adult day care costs for elderly dependents when those expenses are needed to keeping family members in the workforce. The deduction would be limited to $5,000 per year.” [Donald Trump Childcare Plan, accessed 10/6/16]
A FAMILY MAKING $60,000, SUBJECT TO A 15% INCOME TAX RATE, WOULD SAVE $750 – BECAUSE 15% OF $5,000 IS $750
Joint Filers Making $60,000 Are Subject To A 15% Tax Rate. [Internal Revenue Service, accessed 10/6/16]
TRUMP’S CHILD CARE PLAN WOULD HELP THE RICH FAR MORE THAN THE MIDDLE CLASS
Under Trump’s Plan, Wealthy Families Making $500,000 A Year Would Get A Child Care Tax Break Over 2.6 Times Larger Than The One A Family Making $60,000 Would Get. “The centerpiece of Trump’s child care plan is a tax deduction, which is simply the wrong policy for making child care affordable, since it will always offer the most help to those who need it the least. For example, under Trump’s plan, wealthy families making $500,000 would get a child care tax break that is 2.64 times larger than the same tax break for a family making $60,000. Put another way, Trump would give the wealthy family a tax deduction worth $39.60 for every $100 they pay for child care, since they are in the 39.6 percent tax bracket. Meanwhile, the middle-class family in the 15 percent tax bracket would get a tax deduction worth only $15 for every $100 spent on child care. Even if the middle-class family spends the same amount as the wealthy family for child care, the wealthy family’s tax cut is much larger.” [Harry Stein, US News, 9/14/16]
TRUMP’S CHILD CARE PLAN WILL “BARELY MAKE A DENT” IN THE CHILD CARE COSTS OF FAMILIES WHO DON’T PAY INCOME TAXES
Trump’s Child Care Tax Deduction Wouldn’t Help The 44 Percent Of Families That Don’t Pay Income Taxes, And Trump’s Solution To That, An Annual Rebate “Will Barely Make A Dent” In Most Child Care Bills. “And tax deductions do nothing for the 44 percent of families that don’t earn enough to pay income taxes. Trump’s solution for accommodating these lower-income families is to offer a rebate of $1,200 per year. With average child care expenses exceeding the cost of rent and college tuition in most states, this rebate will barely make a dent in most families’ child care bills.” [Vivien Labaton, CNBC, 9/14/16]
TRUMP’S TAX DEDUCTIONS WOULDN’T HELP FAMILIES PAY CHILD CARE COSTS ON A WEEKLY OR MONTHLY BASIS
Trump’s End-Of-Year Tax Break Wouldn’t Help Families That Pay Child Care Costs On A Weekly Or Monthly Basis. “Second, most families have to pay their child care provider weekly or monthly, so an end-of-year tax break is no help. Trump’s child care plan assumes parents can pay thousands of dollars up-front each month to even qualify for his deduction, and then wait up to a year to get reimbursed. When you’re struggling every week to make ends meet, an end-of-year deduction or rebate is too little too late.” [Vivien Labaton, CNBC, 9/14/16]
TRUMP CLAIMED HE OFFERED CHILD CARE FOR HIS EMPLOYEES, BUT IT WAS ACTUALLY A PROGRAM FOR RESORT GUESTS TO GET AMENITIES LIKE CHILD SPA SERVICES
“Trump Kids” And “Trumpeteers” Were Programs For Guests Of Trump’s Hotels And A Golf Club, Not His Employees. “The billionaire real estate mogul, who previously voiced his opposition to government-funded universal pre-K programs, said in Newton, Iowa, in November 2015 that he had visited many companies that offered workers on-site child-care centers — and added that he offered such programs himself. […] Trump pointed specifically to two programs: ‘They call ’em Trump Kids. Another one calls it Trumpeteers, if you can believe it. I have ’em. I actually have ’em, because I have a lot of different businesses.’ […] But the two programs Trump cited — ‘Trump Kids’ and ‘Trumpeteers’ — are programs catering to patrons of Trump’s hotels and golf club. They are not for Trump’s employees, according to staff at Trump’s hotels and clubs across the country.” [Associated Press, 8/11/16] |
| VOICEOVER: Business owners, your taxes get cut from 35% to 15% so you can expand and create more jobs. |
TRUMP PLEDGED TO LOWER THE CORPORATE TAX RATE TO 15%, AND MAKE PASS THROUGH INCOME SUBJECT TO THAT RATE, WHICH COULD SAVE HIM MILLIONS
HEADLINE: “Donald Trump’s New Tax Plan Could Have A Big Winner: Donald Trump’s Companies” [Washington Post, 8/10/16]
CBPP: “Mr. Trump’s Plan Would Set The Individual Tax Rate On Pass-Through Business Income At 15 Percent, Ten Percentage Points Below His Proposed 25 Percent Top Tax Rate On Ordinary Income.” “Mr. Trump’s plan would set the individual tax rate on pass-through business income at 15 percent, ten percentage points below his proposed 25 percent top tax rate on ordinary income. If the ability to escape a 2.9 percent payroll tax (the payroll tax rate that would otherwise apply) encourages wealthy pass-through business owners to reclassify their labor earnings as ‘business’ income, a ten percentage-point tax-rate differential would provide a far greater incentive for such taxpayers to try to classify more of their ordinary earnings as pass-through business income.” [Center On Budget And Policy Priorities, 8/8/16]
Tax Policy Center Expert: Pass-Through Provision “Is A Really Nice Deal” For Trump. “’It’s a really nice deal’ for Trump and pass-through owners like him, said Roberton Williams, a senior fellow at the nonpartisan Tax Policy Center.” [Washington Post, 8/10/16]
Trump Claimed His 2015 Income Was “In Excess” Of $557 Million Excluding Dividends, Interest, Capital Gains, Rents, And Royalties. “Mr. Trump’s income as reported in the PFD statement is in excess of $557 million (which does not include dividends, interest, capital gains, rents and royalties). Mr. Trump’s net worth has increased since the last statement was filed in July of 2015. As of this date, Mr. Trump’s net worth is in excess of $10 billion dollars.” [Donald Trump, Press Release, 5/17/16] |
| VOICEOVER: Donald Trump. Prosperity for you, America great again. |
TRUMP’S ECONOMIC POLICIES WOULD PUSH AMERICA TOWARDS A RECESSION AND LEAD TO 3.5 FEWER MILLION JOBS
A Moody’s Analytics Report On Trump’s Economic Proposals On Taxes, Trade, Immigration And Spending Found That Trump’s Policies Could Sharply Reduce Economic Output And Reduce Employment By 3.5 Million Jobs During His First Term. “A new analysis concludes Donald Trump’s economic proposals, taken at face value, could produce a prolonged recession and heavy job losses that would fall hardest on low- and middle-income workers. The Moody’s Analytics report, which a person close to the Trump campaign strongly disputed, is the first that attempts to quantify the cumulative economic benefits and costs of Mr. Trump’s proposals on taxes, trade, immigration and spending. It determines that full adoption of those policies would sharply reduce economic output during his first term and reduce employment by 3.5 million jobs.” [Wall Street Journal, 6/20/16]
Moody’s Concluded That Trump’s Trade And Immigration Policies Would Sharply Boost The Prices Of Labor And Goods And Contribute To A Recession In 2018. “The report singles out trade and immigration policies as the most detrimental to the economy in the short run because they could sharply boost labor and goods prices at a time when there’s less slack in the labor market. ‘It is a massive supply shock to the economy that’s very pernicious, and the Fed doesn’t know how to respond to that,’ said Mr. Zandi. Moody’s concludes that those price pressures would force the central bank to raise interest rates at a faster-than-desired pace, contributing to a recession in 2018 that could produce a 25% drop in the S&P 500.” [Wall Street Journal, 6/20/16]
TRUMP REPEATEDLY CLAIMED AMERICAN WAGES WERE ALREADY “TOO HIGH”
Trump Opposed Raising The Minimum Wage Because: “Wages Too High, We’re Not Going To Be Able To Compete Against The World.” Trump said he wouldn’t raise the minimum wage, and the reason is that America ‘is a country that is being beaten on every front.’ The problem, he said: ‘Taxes too high, wages too high, we’re not going to be able to compete against the world. I hate to say it, but we have to leave it the way it is. People have to go out, they have to work really hard, and they have to get into that upper stratum.’” [The Week, 11/10/15; Republican Primary Debate, Milwaukee WI, 11/10/15]
Trump: “We Have To Become Competitive With The World. Our Taxes Are Too High, Our Wages Are Too High. Everything Is Too High.” TRUMP: “But you know what? We have to become competitive with the world. Our taxes are too high, our wages are too high. Everything is too high.” [Morning Joe, MSNBC, 11/11/15; The Hill, 11/11/15]
TRUMP PLANS TO ELIMINATE THE ESTATE TAX, WHICH COULD SAVE HIS FAMILY $4 BILLION
HEADLINE: “Trump Pledges To Repeal Estate Tax” [The Hill, 12/5/15]
CNN: Trump’s Family Could Owe $3.997 Billion In Estate Tax. “Donald Trump says that he is worth $10 billion. We’ll go with his numbers, though it is worth pointing out that other estimates put Trump’s net worth around $4.5 billion. Trump falls into the top tax bracket and would owe 40% on his assets above the $5.45 million lifetime exemption, which leaves his estate with a $3.997 billion tax liability. […] So it’s TRUE that 99.8% of Americans would not benefit from the elimination of the estate tax. It is also TRUE that Trump’s family could owe just less than $4 billion in estate taxes if the family does not use any loopholes or exemptions.” [CNN, 9/25/16]
TRUMP’S TAX PLAN WOULD CREATE A NEW LOOPHOLE FOR REAL ESTATE DEVELOPERS, COSTING MORE THAN A TRILLION DOLLARS
New York Times: “It’s Hard To Imagine A Tax Code More Favorable To Real Estate Developers Than The One We Already Have. Donald Trump Has Come Up With One.” [James Stewart, New York Times, 9/1/16]
New York Times: Trump’s Tax Plan “Piles On New [Tax Breaks] For Real Estate Developers Like Mr. Trump Himself — At An Estimated Cost Of More Than $1 Trillion In Tax Revenue Over A Decade.” “Thanks to some major loopholes in the existing tax code that treat real estate developers as a special privileged class, it’s entirely possible (even likely) that Mr. Trump pays little or no federal income tax. But Mr. Trump’s new tax proposal doesn’t just preserve those breaks, it piles on new ones for real estate developers like Mr. Trump himself — at an estimated cost of more than $1 trillion in tax revenue over a decade.” [James Stewart, New York Times, 9/1/16]
Republican Economist Douglas Holtz-Eakin: “If You Want To Create A Recipe For An Abusive Tax Shelter, Take Those Elements And Bake For 15 Minutes.” [James Stewart, New York Times, 9/1/16] |
Hillary Clinton Speeches 