How Trump’s Tax Plan Could Affect the Middle Class

Taxes-scaled

Donald Trump’s election win signals changes in tax policies that could shape the financial future for middle-class Americans.

While President-elect Trump promised to lower taxes for most Americans by extending or making permanent the 2017 Tax Cuts and Jobs Act (TCJA), the broader impact of his tax proposals remains to be seen once he officially takes office next year.

Will middle-class families see lasting benefits, or will Trump’s stance on trade and other factors offset the gains?

Here is how his tax plan could affect the middle class.

Another key factor among the 2017 tax law changes enacted during Trump’s first term was the provision that brought the U.S. corporate income tax rates in line with those levied in Europe and Asia.

“This tax reduction improved U.S. economic competitiveness, accelerating income growth for middle-class families,” said Wayne Winegarden, an economist at the Pacific Research Institute. “If the tax reductions expire, the consequence will be slower income growth and fewer job opportunities for middle class families across the country.”

Read the entire article here.

Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.

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