Posts Tagged ‘health crisis’

Coronavirus Stimulus Tax Break Benefits Millionaires

April 16, 2020

Coronavirus Stimulus Tax Break Benefits Millionaires

“More than 80 percent of the benefits of a tax change tucked into the coronavirus relief package Congress passed last month will go to those who earn more than $1 million annually, according to a report by a nonpartisan congressional body ….

The provision, inserted into the legislation by Senate Republicans, temporarily suspends a limitation on how much owners of businesses formed as ‘pass-through’ entities can deduct against their nonbusiness income, such as capital gains, to reduce their tax liability. The limitation was created as part of the 2017 Republican tax law to offset other tax cuts to firms in that legislation.

Suspending the limitation will cost taxpayers about $90 billion in 2020 alone, part of a set of tax changes that will add close to $170 billion to the national deficit over the next 10 years, according to the Joint Committee on Taxation (JCT), the nonpartisan congressional body.”

— “Tax change in coronavirus package overwhelmingly benefits millionaires, congressional body finds,” Jeff Stein, Washington Post

More:

“Coronavirus stimulus law has a tax loophole just for millionaires, report says,” Charles Duncan, McClatchy

“Millionaires to reap 80% of benefit from tax change in US coronavirus stimulus,” Amanda Holpuch, The Guardian

Related:

“White House, GOP face heat after hotel and restaurant chains helped run small business program dry,” Jonathan O’Connell, Washington Post

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Trump Coronavirus Response: Tax Cuts

March 2, 2020

Trump Coronavirus Response: Tax Cuts

President Donald Trump has been laser-focused on the deadly Coronavirus epidemic, especially one frightening symptom, the biggest stock market dive since the 2008 financial crisis. This is big trouble for Mr. Trump, who has been taking credit for rising stock prices for the past three years. After putting public health expert Mike Pence in charge of the nation’s Coronavirus response, Mr. Trump prescribed his no-fail remedy for Wall Street’s ills: tax cuts. They’ll even pay for themselves! Too bad they won’t treat disease or pay for America’s health care.

More:

“Trump officials discuss tax cuts, other emergency measures in hopes of tackling coronavirus fallout,” Jeff Stein and Ashley Parker,” Washington Post

“Coronavirus Shows the Problem With Trump’s Stock Market Boasting,” Neil Irwin, New York Times

“The coronavirus gores Trump’s bull market,” Robert J. Samuelson, Washington Post

“Trump tries to shift blame as virus outbreak rattles markets,” Jonathan Lemire and Josh Boak, Associated Press

“Only Doctors Can Save the Markets From the Coronavirus,” Binyamin Appelbaum, New York Times

Update:

“Dow plunges despite Fed’s emergency rate cut to stem coronavirus panic,” Rachel Siegel and Thomas Heath, Washington Post

Related:

“Stock markets are headed for a 40 percent plunge, says economist who predicted financial crisis,” Summer Meza, The Week

“Global stock markets have lost $6 trillion in value in six days,” Maggie Fitzgerald, CNBC

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