Not everyone would be getting tax relief, and some would get a tax increase. Choose your income group to see how you would be affected.
Be wary of descriptions of the tax plan’s effects that refer to a “typical” American family. This graphic shows the staggering diversity in circumstances of American taxpayers, and how each of their tax situations would be different.
Republicans dispute a report that the bill would raise taxes on the poor. The disagreement is related to a plan to remove the Obamacare requirement to purchase health insurance.
The nonpartisan Congressional Budget Office estimated that repealing the insurance mandate would result in nearly 13 million fewer people with insurance. If people choose to go without insurance, the government would no longer need to pay billions of dollars to subsidize their plans, and Republicans are counting on those savings to help pay for the tax cuts. But it’s not clear how much money would actually be saved.
The plan’s top objective appears to be giving corporations deep and lasting cuts. Central to the approach is the fundamental Republican belief that the cuts would translate to wage growth and jobs for Americans of all income levels.
President Trump has used several false claims and exaggerations as he has made his pitch. Here’s what he’s gotten wrong.
Mr. Trump said the typical American would see $4,000 more in wages from a corporate tax cut, but labor groups are concerned the money would go to executives and shareholders instead of workers.
It’s far from certain what effect the tax plan would have on those paying off their tuition, and there’s a wide range of possibilities that could raise or lower tax bills by thousands.