Last week, the House passed its version of ‘tax reform,’ along party lines. The final vote came in at 227-205, with the entire Democratic caucus opposing the bill. Thirteen Republicans joined the Democrats in voting no.
The debate now shifts to the Senate where things will likely become more contentious. Wisconsin Republican Sen. Ron Johnson has already announced he opposes the current Senate plan. And the Senate bill differs from the House version – significantly putting off corporate tax cuts for a year. If the Senate can get something passed, the two chambers will have to figure out a compromise plan.
Peter Schiff has been saying the Republicans aren’t even really attempting to reform the tax system. He called the GOP plans ‘tax cuts masquerading as reform.’ Peter is not alone in this thinking.
As Peter said, reform means fundamentally changing the tax system. That’s not happening. There may be some good things in the tax plan – but we can’t really call it reform. And without significant reform of the system, it becomes questionable whether or not the plan can actually spark the economic growth being promised.
Dan Kurz of DK Analytics also contends that the Republican plan isn’t true reform.
This post was published at Schiffgold on NOVEMBER 21, 2017.