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David Kamin @davidckamin
, 5 tweets, 2 min read Read on Twitter
Amendments to Senate tax bill last night made clear the trade-offs required by tax cuts and demonstrated Republican priorities. Chained CPI + health mandate repeal (+13 mn uninsured) paying for half corporate rate cut in 2027. My take here: medium.com/whatever-sourc…
Here's the approximate distribution of chained CPI explicitly paying for $30 billion of corporate rate reductions as of 2027. Repeal of mandate (+13 mn uninsured) covers another $50 billion and is surely more regressive.
Republicans will argue that individual tax cuts will be continued (set to expire after 2025) and this is artifact of Congressional rules. But fiscal trade offs are very real. What will they do when deficits reach 5% of GDP in 2027 and would rocket to 6% if all tax cuts continued?
Will they continue all of the tax cuts like they say so that they end up really costing $1.8 trillion and, including interest, add a total of $2.1 trillion to the debt over the coming decade? If they did, just means more tax increases or spending cuts would come from elsewhere.
Republican leadership has repeatedly shown how they intend to confront deficits. Budget includes cuts to Medicare, Medicaid, and basic services. Tax legislation prioritizes corporate rate cut over everything else. It's time to take these answers seriously. End/
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