Americans for Tax Fairness led a coalition of hundreds of partner organizations in our joint efforts to expose the cruelty of the Trump-GOP tax scam. That scam will give most of its benefits to the richest 1% and wealthy corporations. And it will lead to 90 million working families paying more in taxes and to deep cuts to Medicare, Medicaid, Social Security, and education down the road.
As a coalition, in the last two months we drove over 930,000 calls to congressional offices, held over 750 events and generated tons of media coverage. ATF also drove the online conversation, reaching over 15 million people on multiple social media platforms. We may not have won the policy debate in Washington — where 6,000 corporate lobbyists got politicians to do their bidding — but we sure won it with the American people across the country.
Rachel Maddow of MSNBC video clips of coalition protests:
Protesters out in droves objecting to Republican tax bill
Protesters put pressure on Rep. Comstock for her tax vote
GOP tax bill opponents plan protests to the bitter end
Tax bill protests resume around the country
ATF Statement for House Ways and Means Committee Hearing “Tax Reform: Growing our Economy and Creating Jobs”
Dear Members of the Committee:
Thank you for the opportunity to submit comments for the record regarding the hearing “Tax Reform: Growing Our Economy and Creating Jobs.” I am the Executive Director of Americans for Tax Fairness (ATF), a diverse campaign of more than 425 national, state and local endorsing organizations united in support of a fair tax system that works for all Americans. It has come together based on the belief that the country needs comprehensive, progressive tax reform that results in greater revenue to meet our growing needs. This requires big corporations and the wealthy to pay their fair share in taxes.
My comments are divided into two sections: 1) a presentation of data that ATF has compiled as part of an effort to track how businesses have been responding to the Tax Cuts and Jobs Act (TCJA), and 2) a collection of news articles and analyses that examine the law’s effect on workers, jobs, and the economy.
While it is still early to judge the ultimate effects, the law will have on the economy and workers’ well-being, the evidence so far shows that relatively few companies are sharing their tax cuts with their workers or significantly increasing their investments. Additionally, most experts agree that the law won’t significantly boost the economy or wages in the long run.
54 National Organizations to Congress: End the Corporate Tax Preference for Shifting Jobs & Profits Offshore
Dear Member of Congress:
The Tax Cuts and Jobs Act (TCJA) will allow companies to avoid taxes on $235 billion in profits each year going forward according to the Congressional Budget Office. This is revenue that should be funding critical public investments in healthcare, education, infrastructure, and other priorities. Moreover, the law created new incentives for multinational corporations to move their real operations offshore. The law guarantees that U.S. multinational corporations will pay at most one-half the domestic tax rate on their offshore earnings, with many companies paying little or nothing in taxes on these earnings. This means that under the new law a U.S. multinational company will pay a much lower tax rate if it invests in Ireland than if it invests in Indiana.
We write to express our support for the No Tax Breaks for Outsourcing Act (S. 2459) – introduced by Senator Sheldon Whitehouse (D-RI) – and ask you to become a co-sponsor of this critical legislation. This bill would provide a simple, straightforward fix to one of the most egregious problems created by the TCJA. It would level the playing field for small and wholly domestic businesses by eliminating the deep discount that multinational companies get for shifting profits offshore and outsourcing jobs. It is counterproductive to the goals of a fair and growing economy to allow U.S. companies to pay a lower tax rate abroad than they pay in the United States.
On Tax Day 2018, health care and other vital public services are much less secure for America’s working families due to $1.5 trillion in tax cuts enacted late last year by President Trump and the Republican Congress.
- The tax cuts take revenue out of the federal budget that could be used for public services and investments and divert most of it to the richest households and largest corporations. When the new tax law is fully phased in, 83% of the tax cuts will go to the wealthiest 1%.
- Moreover, these tax cuts will explode the national debt and thereby endanger future funding for Medicare, Medicaid, Social Security and other public services working families rely on.
HERE IS WHAT THE REPUBLICAN TAX SCAM BILL, SIGNED INTO LAW BY DONALD TRUMP, DOES:
- Gives a massive tax cut to millionaires and corporations. Over 80% of the $1.5 trillion in tax cuts will go to the richest 1% by 2027, when fully phased in. This year, the top 1% will get an average tax cut of $51,000 per household.
Despite national polling that has steadily shown widespread disapproval among most Americans, Republicans have passed a deeply unpopular and partisan tax bill. American voters have strongly opposed nearly every iteration of the Republican tax plan in poll after poll. According to an analysis by FiveThirtyEight on November 29, the Trump-GOP tax plan is the least popular tax bill since 1986—even ranking below bills that raised taxes during the George H.W. Bush and Bill Clinton administrations. NATIONAL POLLS CONSISTENTLY SHOW THAT ONLY ABOUT ONE-IN-THREE VOTERS SUPPORTS THE TRUMP-GOP TAX PLAN
Americans for Tax Fairness, Frank Clemente, Executive Director “This monstrosity is not tax reform. It’s a money grab by the richest 1% and the wealthiest corporations, period. It will be paid for by raising taxes on millions of working families and raiding Social Security, Medicare, Medicaid, and other critical services they cherish and depend on. Plainly speaking: a vote for this bill is a vote to inflict harm on millions of hardworking families to please corporate campaign donors and the six thousand lobbyists who pushed for it.”
In recent weeks, editorial boards across the country responded to communications urging them to express their opinion about the various versions of the Trump-GOP tax plans. This is not a comprehensive list, as many papers wrote two, three or four editorials that are not all recorded below.
President Trump and Congressional Republicans claim their massive tax cuts for the wealthy and corporations will greatly increase economic growth, enough even to cover the plan’s $1.5 trillion cost (though they’ve recently been hedging this last claim). Economic experts from across the ideological spectrum strongly refute these claims, both on general principles and as they relate to this specific plan.
Despite his false claim that his tax plan would “cost me a fortune,” President Trump will undoubtedly be among the very wealthy who will benefit enormously from his tax plan. Several elements will be particular boons to Trump and his family. Trump’s exact tax savings are difficult to estimate since he has refused to release his tax returns unlike every other president over the last 40 years—but it is likely to be at least $11 million a year and perhaps as much as $22 million.
Moody’s Investor Service [MarketWatch, 1/28/2018]
“We do not expect a meaningful boost to business investment because U.S. nonfinancial companies will likely prioritize share buybacks, M&A and paying down existing debt,” said Moody’s analysts led by Rebecca Karnovitz. “Much of the tax cut for individuals will go to high earners, who are less likely to spend it on current consumption.”
More than three-quarters of the $1.1 trillion in individual tax cuts will go to people who earn more than $200,000 a year in taxable income, who constitute only about 5% of all taxpayers, said Karnovitz.