The GOP’s Middle Income Tax Increase.

Trump Robs The Middle Class

The new tax bill that the House of Representatives passed Thursday can be safely described as unpleasant.

Tax plans are confusing. They tend to be full of numbers and technical jargon. They give the gift of throbbing temples to most of us. But one thing, at least, is easy to grasp. It’s going to hurt the middle class terribly. This plan is legislative savagery at its worst.

As American citizens, we have a duty to stand up and oppose this criminal concept with all the force we can muster. If we do not, the same GOP Congress that attempted to repeal the Affordable Care Act in favor of total nonsense is all but certain to approve it. This new scheme is pitiless even for Trump. Its implications are brutal. It was hard to believe the budget plan the Senate just signed off on could be approved of by any human being with a heart.

Trump’s tax plan is much like his other policies. Ill-conceived, worse planned, and terrible for very nearly everyone. The CBO report speaks for itself. It’s really more of a tax plot.

The Trumps will save more than $1 billion overall under the GOP tax proposal with most of that amount coming from a repeal of the estate tax, according to an analysis NBC News commissioned of Trump’s one known 2005 tax return and his estimated net worth

As expected, the plan would help the wealthy at the direct expense of the middle class. It will actively hurt the poor. It is also known that foreign oligarch investors, including many from Russia, will be the beneficiaries.

The tax break improves for each income level, meaning that the people who need the most help get the least of it. The top 1 percent would get an 8.5 percent break.

Many Americans will indeed receive a tiny, immediate tax cut, but in the long term they will end up paying significantly higher numbers overall. Better than a third of American taxpayers are living on levels of income that fall below their standard deduction and personal exemptions. According to New York University law professor Lily Batchelder, that group will derive no benefit whatsoever.

This favoritism to the wealthy will increase both their holdings and the nation’s debt tremendously. The richest Americans are the biggest source of tax revenues. Trump has no answers as to where we might find a suitable substitute for them.

The plan will do great damage to parents of school-age children.  The head of household filing status will be eliminated. They will lose the personal exemption middle-class families used to receive for each child. That means almost 10 million parents will see their taxes increase.

The Republican Senate passed a budget bill on Thursday that would cut federal funding by $5 trillion over the next decade. The people to suffer the most from these cuts would be senior citizens, the poor and the disabled. By the time it’s all been said and done, the only ones who won’t be suffering are Donald Trump and his hideous cronies. Good thing the religious right’s got indulgences for sale.
A 10 year proposal that would gut Medicare to the tune of $473 billion in cuts is on the table. That would devastate the finances of more than 55 million Americans.
One might expect such a large tax cut to produce a large surplus in the federal reserve, but such an expectation would meet with disappointment. The Tax Policy Center said that the Framework of Trump’s 2016 plan will actually increase the national debt by $7 trillion over the next 10 years.

A large debt increase of this type tends to stunt economic growth in the long run. When a country’s debt-to-GDP-ratio is more than 100 percent, investors get concerned. They demand higher yields on the nation’s debt,  increasing interest rates. Those higher rates slow growth. It’s the old question of risk vs. reward.

Trump’s plan will also reduce the U.S. gross domestic product after 2024. The interest payments on the debt will end up consuming a large portion of the federal budget.

That money will be unavailable for the public use. It will not be there for the building of infrastructure or other job-creation uses. It will also not be there in case of an emergency, like the California wildfires or Hurricane Harvey.

The administration’s plan is relying on archaic and outmoded ideas of supply-side economics. Under the guidance of this principle, large-scale tax cuts are granted to big corporations. In an ideal world, these corporations would wisely invest this added capital into projects that create more jobs.

In the real world, however, the one in which Millennial Democrats is slogging through this article, this never worked out as it was supposed to. During Ronald Reagan’s administration, underperformance in this area led to the crisis we know as inflation. This was held up and exemplified, and given the name of Reaganomics. And that was still at a time when the highest tax rate was 70 percent.

These days tax rates are half what they were in the 1980’s. The results of pursuing a trickle-down economic strategy now would be far worse.

That is why those of us with sense enough to stand against these cuts must speak out. Loudly, and now. If not, then Medicare, Medicaid and other safety net programs will be gutted and burned. All so that the GOP can pay out a tax cut to the ones who need it least.
“This nasty and backwards budget green lights cuts to Medicare and Medicaid in order to give a tax break to big corporations and the wealthiest Americans. It shifts the burden from the wealthy and puts it squarely on the back of the middle class, and blows a hole in the deficit to boot,” said Senate Minority Leader Chuck Schumer.

“I think it will go down in history as one of the worst budgets Congress has ever passed.

Koch Industries has been working toward getting a bill like this past Congress for forty years.  The Senate has stamped their will with a seal of approval, bypassing Democratic votes and therefore bypassing democracy. “America First” is taking on a whole new twist.

Pardons, Bans, and Health Care Sabotage- More than a Tweeting

As Joseph Arpaio’s federal case headed toward trial this past spring, President Trump wanted to act to help him. The former sheriff had been a close ally in the zany world of Trump’s racism political buddies, ever since the birtherism days. So he asked his attorney general, Jeff Sessions, to drop the criminal case against Arpaio. Sessions, however, was not enthusiastic. He told the president that would be “inappropriate”, according to three people with knowledge of the conversation, which is a very polite euphemism for “starting a political hurricane“.

In spite of the foolishness of Trump, who is lounging happily at Camp David this evening, at a nice safe distance from the actual hurricane, John Kelly has kept right along running the show. He was spared the task of removing one of the final holdouts from the Bannon wing of the new administration, Sebastian Gorka, whose resignation came Friday night amid several chaotic announcements from the White House.

A presidential directive banning transgender recruits became more than a tweeting earlier this week also, but it was the announcement that Texan immigration checkpoints would stay open, even in the face of the coming Hurricane Harvey, that caused the most disgust and outrage. This move, breaking decades of precedent and astounding many with its callousness and lack of forethought, is one of the most alarming signs yet of the president’s inablility to understand consequences.

However, a ray of hope appeared in the form of the recent comments of James Mattis to American troops stationed abroad. “Our country right now, it’s got problems we don’t have in the military,” Mattis said. “You just hold the line until our country gets back to understanding and respecting each other and showing it.”

This is the latest in a growing trend. What little decency there is in the Trump administration, is coming from the Pentagon.  All that comes from the White House itself is one continuous mess. Trump’s disorganization has made it impossible for him to get anything positive done. The other branches of government have blocked his worst ideas. Our judicial system has held firm, and saved us time and again. Congressional Democrats have stood firm in a bloc and refused steadfastly to go along with whatever it is the Republicans are offering. Their agenda doesn’t exist, outside the sabotaging of Obamacare. Their efforts have failed so many times, and their president is going to seed in so many ways, that it’s hard to predict what comes next for them.

It has long been a maxim of human life that it is easier to destroy than create. And Donald Trump has at every turn demonstrated to the world that his capacity for pettiness knows no bounds. Against the wishes of even other Republicans, Trump has threatened repeatedly to cut off the cost-sharing reduction payments to insurers that allow the the Affordable Care Act, also known as Obamacare, to keep functioning.

Under this life-saving legislation, the federal government reimburses insurance companies for the discounts on copays and deductibles they’re required by law to give to low-income customers, which is the only way that 23 million Americans can continue to keep breathing.

Trump has always scoffed at social programs.  This was clearly evidenced by the savage shame that was his new budget plan. He has called them “bailouts,” and held forth at bitter length about the supposed evils of them during the drama of the multiple failed attempts by Senate Republicans to repeal and replace the public health care law that has long eluded their capture.

Trump is wavering on continuing to make good on these payments to insurers, even though the Congressional Budget Office just released an analysis concluding that ending the payments will increase the national deficit by $194 billion, over the next 10 years. For another several weeks, President Trump will be deciding whether the payments will continue long-term, or be cut off altogether. No one should assume it will go the right way. He doubled down in his comments on the Charlottesville murder. He made his tweet regarding transgender soldiers an official order. He pardoned Arpaio, although the rest of the GOP begged him not to.

It is the opinion of Millennial Democrats that there is nothing on the agenda right now more important than saving the Affordable Care Act. For us regular folks, all we can do is remain watchful and make our voices heard. Trump absolutely may sabotage the ACA by withholding these payments, just because he’s bitter at the way things are going. More evidence regarding secret meetings with Russian President Vladimir Putin came out this week, and leaks came out of Mitch McConnell privately speculating that he doubts whether Trump can still save his presidency. Doubtful indeed, but just the same, don’t expect him to go quietly.