Why are Republicans in such a rush to pass tax reform? To outrun the truth.

[Rogue Valley]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

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By Catherine Rampell
November 27, 2017

Senate Majority Leader Mitch McConnell (R-Ky.), Senate Finance Committee Chairman Orrin Hatch (R-Utah)
and Treasury Secretary Steven Mnuchin

There are lots of pressing issues Congress could be focusing on right now. Lawmakers could work on reauthorizing the Children’s Health Insurance Program, which expired Sept. 30 , leaving the 9 million kids who depend on it in limbo. Or maybe they could find a solution for so-called “dreamers,” the undocumented immigrants brought here as children, who will lose their protected status soon unless Congress acts. Or, hey, they could try to prevent the U.S. government from setting off a worldwide financial crisis. That’s something that might happen in less than two weeks, when we hit the debt ceiling. Instead, Republican senators have a different priority: jamming through their plutocratic, sloppy tax overhaul as quickly as possible. By “as quickly as possible,” I mean as soon as this week, which would be a mere month after the first draft of the GOP tax bill was introduced in the House. For comparison, the last time such a major overhaul happened — during the Reagan administration — the process took more than two years. And it included dozens of hearings and consultations with voters, tax practitioners and experts.

That’s nothing like the full-steam-ahead approach we’ve seen this time around. Why the haste? Republicans are of course desperate to notch a legislative win before the year ends, especially given their failed promise to repeal Obamacare. But perhaps more important, Republican lawmakers need to pass this terrible bill before voters — and indeed lawmakers themselves — have a chance to learn what's in it. For years, Republicans promised that their tax cuts would pay for themselves, once you accounted for all the economic growth they’d unleash. They even mandated that Congress’s own nonpartisan internal scorekeepers take into account this “macroeconomic feedback” when evaluating the budgetary effect of major bills such as this one. But now the Senate is racing to vote before those scorekeepers have a chance to evaluate their claim about the bill’s cost (or lack thereof, supposedly). The more time that passes, the angrier these voters will get, and the more pressure they’ll presumably place on elected officials to either change or oppose the legislation. Which is yet another reason to vote on the bill ASAP: Familiarity will breed (even more) contempt. If Republicans were smart, they’d give themselves sufficient time to properly vet and craft this legislation. Apparently, they’d prefer to keep their heads in the sand.

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

 

[Simon W. Moon]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

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To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

I wonder if the rushed business lately—not just this bill, but seemingly everyone this year—is so that the GOP can get on with dealing with the Trump fiasco.
They just want to get their donors satisfied before they open the can of worms that is the Trump presidency.
I suspect they'd just as soon get rid of the oaf in office, but want to CYA first.

All pure speculation on my part.

 

[Praxas]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

---

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

Because the Republicans are in such desperation for a win, ANY WIN, that they will pass anything even if it is bad for most Americans.

 

[Exquisitor]

Because the Republicans are in such desperation for a win, ANY WIN, that they will pass anything even if it is bad for most Americans.

This win consciousness; those who always want to win are such a nuisance.

 

[MrPeanut]

I think getting something done in 2017 is politically important, but they also know that there are a lot of major things they want to do and the type of majority they have won't last forever. They have to push when they have the biggest advantage, and that is right now.

 

[DamnYankee]

https://townhall.com/tipsheet/guybe...s-on-the-middle-class-in-a-few-years-n2414790

 

[Sabre]

This rush is willful and purposeful. They don't want questions, debate, or analysis.

They just want to get their donors satisfied before they open the can of worms

This win consciousness; those who always want to win are such a nuisance.

They have to push when they have the biggest advantage, and that is right now.

I really enjoyed reading these comments because it right away reminded me of the the same style of comments being made by Republicans when Pelosi was pushing the ACA. Seems what goes around .............

I guess we will just have to wait until the tax reform is passed to know what's really in it ..........

 

[Rosie1]

They've got to give those tax breaks to the rich, before the populous majority figures out that there are no tax cuts for them. Besides, the next election cycle may not be kind to them because of Trump.

 

[Dittohead not!]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

---

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

Trump promised to repeal and replace "Obamacare." fail
Trump promised to build a wall that Mexico would pay for. fail
Now, Trump must win one. Tax reform is next, so he's desperate for it to pass. Whether it will improve or exacerbate the situation is irrelevant.

 

[Praxas]

I really enjoyed reading these comments because it right away reminded me of the the same style of comments being made by Republicans when Pelosi was pushing the ACA. Seems what goes around .............

I guess we will just have to wait until the tax reform is passed to know what's really in it ..........

The ACA was debated for almost a year with hearings and amendments, there is no comparison here.

 

[jonny5]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

---

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

And yet, here we are having months of debate. CBO analysis wont change that. Both sides will cherry pick it or complain about it to fit their narrative just like youre doing here. The facts wont change. People will pay less taxes. It will help the economy. And the govt will still spend too much.

And if they DONT pass it, the govt will still spend too much. Also:

https://www.cbo.gov/publication/53348
https://www.cbo.gov/publication/53312
https://www.cbo.gov/publication/53315

 

[Rogue Valley]

And yet, here we are having months of debate.

I don't know what planet you inhabit, but both bills have been introduced in less than two months with no floor debates, no public explanations, and no town halls.

It will help the economy. And the govt will still spend too much.

Every analysis so far states that both GOP tax bills are "revenue-negative". The cuts do not pay for themselves and increase the deficit.

The GOP also doesn't want middle class America to catch on ... the tax cuts overwhelmingly favor the 0.01 wealthy elite and major corporations.

The individual [token] tax cuts sunset (expire). The huge corporate tax cuts never expire.

 

[holbritter]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

---

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

I'm guessing it's because it's near the end of the year and anything new would start the first of the year?

 

[Exquisitor]

I'm guessing it's because it's near the end of the year and anything new would start the first of the year?

No kidding?

 

[jonny5]

I don't know what planet you inhabit, but both bills have been introduced in less than two months with no floor debates, no public explanations, and no town halls.



Every analysis so far states that both GOP tax bills are "revenue-negative". The cuts do not pay for themselves and increase the deficit.

The GOP also doesn't want middle class America to catch on ... the tax cuts overwhelmingly favor the 0.01 wealthy elite and major corporations.

The individual [token] tax cuts sunset (expire). The huge corporate tax cuts never expire.

Apparently i inhabit the planet where the congressional record resides. Weve been talking about tax reform for months. The bills were introduced, they came out of committee, went to the floor, had debate and voted. The Senate is doing the same. I posted several CBO reports above and you can find the congressional records about it here https://www.congress.gov/bill/115th-congress/house-bill/1/history

Furthermore, the bill doesnt have to pay for itself. Its not spending. Borrowing increases the deficit, not taking less money from people. There is nothing wrong with favoring the wealthy or corporations. They pay most of the taxes, produce most of the wealth, and the 99% owns quite a lot of those corporations and would like to see them become more valuable.

ALL the tax cuts expire in 10 years. Its a reconciliation bill, so it cant go beyond that. And theyre hardly [token].

6k more tax free dollars, plus 0-45k taxed at 12% instead of 10,15,25% AND 45k.-200k taxed at 25% instead of 25,28,33%

 

[Exquisitor]

Apparently i inhabit the planet where the congressional record resides. Weve been talking about tax reform for months. The bills were introduced, they came out of committee, went to the floor, had debate and voted. The Senate is doing the same. I posted several CBO reports above and you can find the congressional records about it here https://www.congress.gov/bill/115th-congress/house-bill/1/history

Furthermore, the bill doesnt have to pay for itself. Its not spending. Borrowing increases the deficit, not taking less money from people. There is nothing wrong with favoring the wealthy or corporations. They pay most of the taxes, produce most of the wealth, and the 99% owns quite a lot of those corporations and would like to see them become more valuable.

ALL the tax cuts expire in 10 years. Its a reconciliation bill, so it cant go beyond that. And theyre hardly [token].

6k more tax free dollars, plus 0-45k taxed at 12% instead of 10,15,25% AND 45k.-200k taxed at 25% instead of 25,28,33%

They'll be screaming again to extend the Trump tax cuts.

I like consolidating the income brackets, this is a good way to a flat tax, but is it worth the Bill?

Yes the 99% own shares in Corporations, but let's keep it this way and improve it.

 

[Absentglare]

I really enjoyed reading these comments because it right away reminded me of the the same style of comments being made by Republicans when Pelosi was pushing the ACA. Seems what goes around .............

I guess we will just have to wait until the tax reform is passed to know what's really in it ..........

You seem to have intentionally misinterpreted Pelosi's statement, that or you're repeating the talking points from someone else's intentional misinterpretation.

Pelosi was explaining that there were lots of lies surrounding the bill, that passing the bill will lift the "fog of controversy" created by the lies because the effects of the bill will effectively debunk the lies.

Furthermore, there's no comparison between the way the ACA was drafted, with proper bipartisan deliberations and an in-depth understanding of the bills effects, and how these bills (the cash handouts to the rich bills paid for by harvesting healthcare for the poor or taxes from the poor/middle class) are being negotiated in secret by only one party.

The ignorance with which your post approaches this issue is considerable.

 

[Absentglare]

And yet, here we are having months of debate. CBO analysis wont change that. Both sides will cherry pick it or complain about it to fit their narrative just like youre doing here. The facts wont change. People will pay less taxes. It will help the economy. And the govt will still spend too much.

And if they DONT pass it, the govt will still spend too much. Also:

https://www.cbo.gov/publication/53348
https://www.cbo.gov/publication/53312
https://www.cbo.gov/publication/53315

Actually there isn't much, if any, debate.

CBO analysis would inform the debate if it were permitted to complete.

"Both sides" aren't the issue here, the issue is the lack of responsibility by the party in power, but it's ironic that you're desperately grasping that straw to "fit" your "narrative".

Half of the country will actually pay more in taxes.

It will hurt the economy.

The government will not collect enough revenue to balance spending.

And you haven't defined spending "too much" in any meaningful way.

Bravo, your post is an unmitigated failure in almost every possible way. The only exception is that you are correct to claim that the facts won't change.

 

[Absentglare]

Apparently i inhabit the planet where the congressional record resides. Weve been talking about tax reform for months. The bills were introduced, they came out of committee, went to the floor, had debate and voted. The Senate is doing the same. I posted several CBO reports above and you can find the congressional records about it here https://www.congress.gov/bill/115th-congress/house-bill/1/history

Furthermore, the bill doesnt have to pay for itself. Its not spending. Borrowing increases the deficit, not taking less money from people. There is nothing wrong with favoring the wealthy or corporations. They pay most of the taxes, produce most of the wealth, and the 99% owns quite a lot of those corporations and would like to see them become more valuable.

ALL the tax cuts expire in 10 years. Its a reconciliation bill, so it cant go beyond that. And theyre hardly [token].

6k more tax free dollars, plus 0-45k taxed at 12% instead of 10,15,25% AND 45k.-200k taxed at 25% instead of 25,28,33%

You're really showing just more ignorance. They're still making major changes to the bill that they're planning to vote on by Thursday.

Talking about doing something is very different from actually doing it. You seem to be confusing rhetoric with policy.

Again, the problem is that the formal procedure for legislation that has trillions of dollars in impact is more strict than checking those four boxes in any, however minor, capacity. There is no real opportunity for debate here, it's being forced with obvious motivated reasoning of going further into debt to give rich people a cash handout they don't have to work for.

You don't seem to understand what a budge deficit is. A budget deficit is not a function of spending alone, it is a function of both taxation and spending. Collecting less revenue means bigger deficits by definition, so it is absurd for you to claim something so obviously wrong. Third, you don't seem to understand how wealth is generated if you think the wealthy create it in a vacuum.

Your spitball analysis of the tax change is brazenly incorrect.

 

[Tanngrisnir]

Why are Republicans in such a rush to pass tax reform? To outrun the truth.

---

To date, the majority of independent analysis of the GOP tax bills agree that the bills are "tax cuts" rather than "tax code reform" and they are "revenue-negative" and will thus increase the federal deficit. The GOP in both houses of Congress believe it is critical to pass their tax legislation before the Congressional Budget Office (CBO) has sufficient time to analyze the legislation and report on the pro's and the con's.

This rush is willful and purposeful. They don't want questions, debate, or analysis. They want a quick tax-win for their wealthy donors and damn the middle class consequences.

Related: Dems should offer own plan to destroy GOP tax nightmare

Republicans and Democrats both have long touted opposing analyses of the economic impact of various taxes and taxation plans. You could easily look at those offered by both and judge for yourself.

It is beyond radical that now the Republicans are simply and fully refusing to present any analysis of their plan.

They're trying to get it passed before any full congressional report comes out about what could possibly happen. It was written by Repubs and their lobbyists, no dems whatsoever were involved, there were no public hearings before it was created and hardly any afterwards.

It should be obvious to any rational adult why they're trying to do this.

 

[Rogue Valley]

ALL the tax cuts expire in 10 years. Its a reconciliation bill, so it cant go beyond that. And theyre hardly [token].

Wrong. The individual tax cuts are set to sunset (expire). The corporate tax cuts are permanent.

By 2025, taxes on the middle class will begin to increase (Somebody has to pay for tax cuts to the wealthy).

To make the GOP tax bills "revenue-neutral" as required by Reconciliation, they have to pay for themselves ($1.5 trillion/decade) and not increase the deficit.

The GOP contends that increased economic growth will pay for the tax cuts. This explanation is ludicrous.

A minimum of 4% sustained annual economic growth is required every year for the next decade. (Actually 5-6% growth per annum is more accurate).

Such annual economic growth hasn't happened for a sustained period since WWII. The GOP economic-growth explanation is fairy-dust.

 

[jonny5]

Wrong. The individual tax cuts are set to sunset (expire). The corporate tax cuts are permanent.

By 2025, taxes on the middle class will begin to increase (Somebody has to pay for tax cuts to the wealthy).

To make the GOP tax bills "revenue-neutral" as required by Reconciliation, they have to pay for themselves ($1.5 trillion/decade) and not increase the deficit.

The GOP contends that increased economic growth will pay for the tax cuts. This explanation is ludicrous.

A minimum of 4% sustained annual economic growth is required every year for the next decade. (Actually 5-6% growth per annum is more accurate).

Such annual economic growth hasn't happened for a sustained period since WWII. The GOP economic-growth explanation is fairy-dust.

Wrong. There is no such expiration in the bill passed in the House. Read the bill and quote where you see this.

https://www.congress.gov/bill/115th-congress/house-bill/1

Also, we had avg 4.6% growth from 83-89. Hmm right after similar reform was passed.

1983 4.6
1984 7.3
1985 4.2
1986 3.5
1987 3.5
1988 4.2
1989 3.7

 

[Rogue Valley]

Wrong. There is no such expiration in the bill passed in the House.

There is in the GOP Senate bill. Individual tax cuts and an increase in exemptions expire in 2026. Corporate tax cuts never expire.

Though the Senate bill makes its business tax cuts permanent, the individual cuts are temporary to comply with a rule that forbids legislation from adding to the federal budget deficit after 10 years.

Republicans Say Expiring Tax Cuts Won’t Expire

 

[Rogue Valley]

1983 4.6
1984 7.3
1985 4.2
1986 3.5
1987 3.5
1988 4.2
1989 3.7

The above was the Reagan tax cuts and high defense spending (Star Wars). It wasn't sustained for a decade.

Economic growth - After 1989 the bottom dropped out. Four years at +4% during the Clinton administration. There has been no period since WWII in which US economic growth sustained at +4% annually for 10 years.

4% is probably too small for the Trump/GOP revenue shortfalls. 5-6% sustained annual economic growth/decade will probably be required to make the GOP tax plan "revenue-neutral".

 

[jonny5]

There is in the GOP Senate bill. Individual tax cuts and an increase in exemptions expire in 2026. Corporate tax cuts never expire.



Republicans Say Expiring Tax Cuts Won’t Expire

Well then until we have a final bill its moot. Senate proposes one thing, House proposes another. We have no idea what the final will be.