Economists say such a shift could widen the gap between the rich and the poor.
Literally the primary raison d’être of the modern Republican party
TL;DR: Trump administration’s plans would drastically increase the cost of everything but everyone would save 5% on their taxes. That means most people save ~$2,500/year from the tax cut but end up spending $5,000-20,000 extra on everything else (their purchases throughout the year).
The rich, on the other hand would save millions and millions on their taxes.
You’re pretty well-off if you’re paying $50k in income taxes. (Notice how they’re not planning to cut payroll taxes; those are for us ordinary folks)
If it’s just income taxes, for a single individual, you’d have to be making about 225k to pay 50k in income taxes.
How rich do you have to be to benefit from that
The reality is trickle down economics was a lie. We see that right now. Amazon doesn’t invest it’s savings in its employees, it steamrolls them for more. It’s only trickle up economics and yet they want more.
This is why things are so tight and shitty post COVID. And now he wants to double down on that.
Taxes on goods and services are nearly always, if not always, regressive.
