Posted on 11/14/2017 4:45:55 AM PST by Kaslin
Recently, our national economy has been rebounding following a long period of tepid recovery. That makes this the perfect time to tackle federal tax reform and I applaud President Trump for his leadership on this issue.
In the Commonwealth of Kentucky, our administration understands the importance of modernizing our antiquated tax structure in order to make our state more business friendly. Our vision is that Kentucky will become the epicenter of engineering and manufacturing excellence in the United States. In order to achieve that vision, Kentucky must compete with other states to draw companies who wish to establish or expand their businesses. Thus far, we are doing well on that front. Kentucky just broke its all-time record for new economic development in a single year, and it did so in only the first five months of 2017. Since taking office, we have announced more than $11 billion in new economic development projects, resulting in the creation of 30,663 jobs. Tax reform in our state will ensure that Kentucky remains on this trajectory of economic growth.
In the same way, America can become more competitive with other countries by updating the tax code at the federal level. After all, it has been more than 30 years since Washington, D.C. has passed significant tax reform. Currently, our corporate tax rate places the U.S. at a competitive disadvantage when compared to other industrialized nations. Lowering this rate will encourage companies who may have moved outside the U.S. to return. The lower the rate, the better. Likewise, an improved tax structure will incentivize more foreign owned companies to establish their manufacturing operations in the United States, benefiting the American worker. We should encourage those who manufacture 21st century products to do so in the United States.
I recognize that the details of federal tax reform are still being worked out in the legislative process and there will be debate and disagreement on some of those details. That is to be expected and is a beneficial part of our deliberative, democratic process. Tax reform should be done thoughtfully. However, we do know that it is counterproductive to drive the wealth producers and job creators out of the country. Those who can provide seed capital should be encouraged to invest that capital here.
In addition, I encourage a complete federal-level repeal of the so called “death tax.” This tax hits the families of farmers and small business owners the hardest and often at a time of personal grief and loss. This is a counterproductive tax on those who have earned and saved, and it robs the economy of capital that would otherwise be reinvested and stimulate economic growth.
The time to act is now. Sensible, fiscally responsible tax reform will provide energy and impetus to an already dynamic economic recovery in the United States. I applaud President Trump and Congress for being willing to tackle this head on. I encourage them to be bold in their reforms and to approach the issue with pro-growth, pro-employer policies in mind. The sun is shining brightly on Kentucky’s economic future. Federal tax reform can be an important step in ensuring that same level of optimism for Americans everywhere.
If Congress did nothing more than drop business tax to 20%, get rid of the estate tax and get rid of the investment tax they would be ahead of the game. Then, if Republicans hold the house and senate in 2018, they can add another tax reform idea. Do one or two a year this way you can measure how successful they are.
TRANSLATION: Hey, wink.....wink... we all know that this bill raise the taxes of millions of middle-class Americans, but so what? This bill is written for and by our big donors, and that’s who we have to placate. So everyone who is going to pay higher taxes, you’re just going to have to suck it up and play ball. All right? Just shut up and take it!
Tax Reform is a term that can cover many modifications of the tax system, either good or bad. The Tax Reform that seems to be destined to come from the Republicans in Congress appears to be a rearrangement that will place more expense on the productive industries that we need to unshackle and is based on the zero sum principle that any reduction must be compensated by an increase in some other provision. Nothing good can come of that and much evil must come because such “reform” will be a cover for much new favoritism and political posturing with no net benefit except to the favored campaign donors.
If the system were totally overhauled to produce a low flat tax, 9% perhaps, with no credits, deductions or exemptions of any sort and an end to the stupid capital gains tax the explosion of prosperity in the country would be very rapid and the military could have the funds to rebuild while the debt is paid down. A side benefit would be the end of the IRS as anything more than an office in DC with fifty or fewer employees or maybe no IRS at all.
Nice article Gov Bevin. Please share your thoughts with your swamp creature senate majority leader.
SPENDING reform is far more important than tax reform.
I am of the opinion that federalism needs to be asserted to govern tax collection. Namely, the adoption of representative apportionment where the tax bill is divided down to a per Senator and per Representative tax bill that is totaled per state, and then billed to the state. The states are then allowed to collect taxes to pay the tax bill
That would look more like the Republic as it was meant to be. We owuld need precede or accompany that with return of Senatorial selection to the states as States. and, importantly, abolition of the Federal Reserve.
Tax Reform aint gonna happen. They’ll bring it back prior to the 2018 elections and then it’ll go back into the swamp where it currently resides.
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