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TThe Trump tax cuts remain unpopular on the first day of the tax since their entry into force, largely thanks to the fact that many of those who have benefited from a tax break do not do not realize it.
Part of the disconnect can be attributed to Democrat attacks. Another part may be questioned by Republicans who adopt tax reform in a partisan way rather than looking for the kind of bipartite reform that was adopted in 1986. Part of this reform can also be attributed to Trump's own trading system. and its relative unpopularity.
A NBC / Wall Street Journal poll released last week revealed that only 17% of respondents thought they would pay less tax because of the law, while 28% thought they would pay more (the majority did not know or thought that their taxes would be the same).
In fact, about two-thirds of households benefited from tax breaks in 2018, according to an estimate by the Tax Policy Center, a non-partisan think tank. Only 6% saw tax increases.
But the perception that more and more Americans have seen an increase in taxes persist.
"No one really knew they were going to have a tax break for the first year, a year and a half after it came into effect," said Liam Donovan, tax lobbyist for Bracewell and former member of the national committee of the Republican Senator. "You already have some because it's our second April 15 coming. The time that has elapsed from now makes the connection of cause and effect more difficult. "
Donovan pointed out that most people receiving tax cuts have been getting them gradually, without having to pay their pay checks every two weeks. Families did not have any tangible sign of tax cuts – there was no big check in the mail – which probably prevented them from knowing if they benefited from it.
Meanwhile, Democrats have relentlessly attacked the law because they only help the rich or corporations, such as Trump and his company.
Representatives Bill Pascrell, DN.J., and Judy Chu, D-Calif., Emphasized this point on Monday, claiming that the Congressional investigation into Trump's tax returns was necessary because the law might have been designed to serve his own interests.
"I want to know if the president pays his fair share because I pay my fair share," Pascrell said in a phone interview with reporters. Pascrell's colleague and House Ways and Means Committee Chair Richard Neal announced a new deadline for the Treasury Department to cooperate with Trump's request for a review of returns.
Another way in which Democrats have helped to inflate the perception on the part of Americans who have undergone tax increases is by highlighting the cap on the law on deductions for national and local taxes paid, or SALT. The SALT ceiling of the law has particularly plucked high incomes in high-tax states.
The leading Democrats also hinted that early indications that tax refunds were lower this year were a sign that the tax law did not benefit typical families. Although tax refunds have decreased by just over 1% in total amount and average amount per refund towards the end of the 2019 tax season, they only measure the amount paid by a person to the government by paying wages retained during the year. received a tax reduction or not.
Trump appeared Monday in Burnsville, Minnesota, with a group of small business owners and employees to boast of tax cuts. The White House and its allies want to fight against the democratic attacks of the law by praising in particular the reductions of taxes granted to the small companies.
Characteristically, Trump has rebounded tax cuts to rates, through the stock market, North Korea and Israel. He cited the low unemployment rate and the rise in retirement accounts.
Trump also criticized the Democrats: "Everything we have done can be defeated and bad things can happen."
Democratic presidential candidates have submitted proposals to cancel tax cuts. But Donovan, who saw political parallels between the Obamacare dynamic and the GOP tax overhaul, thought it would be easier said than done.
"If and when Democrats are trying to solve this problem, it entails a similar risk, as people do not like change, but it works both ways," Donovan said. "Because it's the devil you do not know and the tax system is as complex and complex as the health system."
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