From what I've read, the reduction in tax brackets and lowering of the top rate will benefit the top 10% by huge total amount, which would add to the annual deficit with little to know economic payback. Republicans, apparently, are deficit hawks only when Democrats control the budget. Also, lowering of pass-through income to a 24% rate from its current taxation as regular income also benefits the wealthy. Eliminating or reducing estate tax helps ONLY the wealthy. Also in Trump's budget is an increase in the lowest bracket, supposedly offset by a doubling of the standard deduction, but combined with elimination of the deduction for state income tax, the overall effect on median income earners is a tax increase. Blowing up the deficits likely will raise interest rates. The revenue reduction and consequent deficits would make any infrastructure plan problematic, so don't count on those new jobs and economic stimulus.

This is a junk budget, a huge wealth transfer to the already rich.

Labels: moderation: safe