#TrumpTaxCuts The Trump tax cuts, signed into law in December 2017, disproportionately benefited wealthy individuals and large corporations. Here's a breakdown of the tax cuts:

Key Points

- *Cost:* Permanently extending the Trump tax cuts would cost approximately $4 trillion over the next decade, with $3.4 trillion coming from individual and estate tax provisions and $551 billion from business provisions.

- *Impact on Debt:* Extending the tax cuts would increase the projected debt-to-GDP ratio by 36 percentage points, pushing it above 200% of GDP by 2054.

- *Benefits:* The tax cuts raised annual investment by 7%, resulting in an additional $265 billion in private investment in 2023, and increased average worker wages by about 1%.

- *Proposed Extensions:* Some proposals include ending taxes on overtime pay, which could cost $750 billion over a decade.

Potential Consequences

- *Increased Inequality:* The tax cuts would give the largest benefits to extremely rich households.

- *Reduced Government Revenue:* The corporate tax cuts cost $450 billion in decreased federal revenue, compared to $1.1 trillion for individual tax cuts ¹ ².

Current Status

- *Expiration:* Some individual tax provisions are set to expire at the end of 2025, while corporate provisions were largely made permanent.

- *Debate:* Lawmakers are debating whether to extend or modify the tax cuts, with potential implications for the economy and government revenue ¹.