An in-depth look at how the Tax Cuts and Jobs Act of 2017 avoided scrutiny and made the rich richer.
The first part in our new series, “Trump’s Tax Cuts: The Rich get Richer,” investigating the origin and impact of the 2017 tax law:
THE TRUMP TAX LAW HAS BIG PROBLEMS. HERE’S ONE BIG REASON WHY
Source: Peter Cary, Allan Holmes, Pratheek Rebala, Center for Public Integrity, January 15, 2019
There’s no shortage of agenda items for the new Congress that’s just been seated in Washington. But lost among the anguished cries to reopen the government and enact ethics reform will be a lesser-advertised but crucial item: addressing major problems in the 2017 tax bill that President Donald Trump signed into law a year ago.
That the law needs fixing is not in dispute. Why it needs fixing is most vividly illuminated by contrasting it with another massive piece of tax legislation, the Reagan-era Tax Reform Act of 1986.
In the months leading up to passage of the 2017 tax act, Trump administration officials and Republican leaders in Congress giddily compared the scope of their bill to that very law. House Ways and Means Committee Chairman Kevin Brady, R-Texas, called their new bill, “the first action in 31 years since President Reagan’s reforms in 1986.” Then-National Economic Director Gary Cohn said the legislation represented the “most significant tax reform legislation since 1986.”
Measured by the magnitude of changes to the tax code, that is true. But in terms of how the bills were developed, deliberated and drafted by Congress — not to mention their substance — the bills could not be less alike. And therein lies an illuminating — some would say frightening — story.