An Insult Wrapped in a Con Job
Trump’s Tax Cuts: A Windfall for the Wealthy, a Time Bomb for the Deficit
In 2017, Donald Trump and the Republican-led Congress passed the Tax Cuts and Jobs Act (TCJA), a move heralded as a major victory for supply-side economics. The reality? A jackpot for corporations and the top 1%, while middle-class benefits were meager and temporary.
- Corporate tax rate slashed from 35% to 21% – A permanent gift to big business.
- Top individual tax rate dropped from 39.6% to 37% – More pocket change for millionaires and billionaires.
- Stock buybacks hit record levels – Over $560 billion in 2018 alone, enriching shareholders while worker wages stagnated.
- Federal deficit balloons by $1.5 trillion over a decade – The rich get richer, and taxpayers foot the bill.
- Middle-class relief? A rounding error.
- If you made $50,000 a year, your tax cut was about $800—roughly 1.6%.
- If you made $75,000, you got about $1,300—maybe a 1.7% cut.
- Compare that to the 14% cut billionaires got.
- And by 2025, your tax cut disappears. Corporate cuts? Permanent.
Trump’s tax policies were based on the trickle-down fantasy: cut taxes on the rich, and prosperity will rain down on everyone else. Instead, companies hoarded cash, executive bonuses soared, and the working class was left with breadcrumbs. The Congressional Budget Office projected the TCJA would add $1–2 trillion to the national debt, all while failing to spur significant wage growth.
Harris’s Plan: Tax Relief for Workers, Not Just the Wealthy
Kamala Harris took a radically different approach, centering her tax policy on middle- and low-income Americans while ensuring the rich and corporations pay their fair share.
- LIFT Act: A proposed $6,000 annual tax credit for working families ($3,000 for single filers), providing direct relief to those who actually need it.
- Expanded Child Tax Credit: Harris supported increasing the child tax credit and making it fully refundable, reducing child poverty rates.
- Eliminating federal income taxes on tipping income: A direct boost for service industry workers who rely on tips to survive.
- Reversing Trump’s corporate tax cuts: Returning the corporate tax rate to at least 28% and closing loopholes that allow billion-dollar corporations to pay zero in federal taxes.
- Raising taxes on the top 1% while cutting taxes for lower-income and middle-class Americans – a shift toward economic equity rather than oligarchic greed.
Harris’s tax policies weren’t just about making the rich pay more; they were about rebalancing an economy that had been skewed toward corporate excess and wealth accumulation at the top. Analysts projected her proposals would reduce after-tax inequality, lift millions out of poverty, and strengthen economic security for working families.
The Real Impact on Working Americans
| Policy | Trump Reality | Harris Projection |
|---|---|---|
| Corporate Taxes | Slashed to 21%, boosting CEO pay and stock buybacks | Increased to at least 28%, funding social programs and infrastructure |
| Top 1% Tax Rate | Reduced to 37% | Raised, ensuring fair contributions from the ultra-rich |
| Middle-Class Relief | Temporary and minimal | Permanent and substantial |
| Child Tax Credit | Limited expansion | Fully refundable and increased |
| Service Worker Income Tax | Tipping income still taxable | Eliminated federal tax on tips |
| Deficit Impact | Added $1.5–2 trillion in debt | Offset by higher taxes on corporations and the wealthy |
The Verdict: A Tale of Two Americas
Trump’s tax policies were designed to reward the rich and starve the government, leaving a ballooning deficit and underfunded public services. Meanwhile, Harris aimed to ease financial strain on working families while holding corporations and the wealthy accountable for their fair share.
The choice is stark:
- A Wall Street bonanza, where wealth is hoarded at the top while workers scrape by.
- Or an economic reset, where taxation fuels a healthier, fairer, and more sustainable future for all Americans.
Who benefits? Who pays the price? Under Trump, the billionaire class cashed in. Under Harris, working Americans would have finally gotten a break.
