Donald Trump Plans To Cut Everybody's Taxes

| by Meg O'Connor
Donald Trump's typical expressionsDonald Trump's typical expressions

On Monday, GOP presidential front-runner Donald Trump finally revealed the tax plan that he had been talking up for some time now. 

At a news conference held at the Trump Tower in New York, Trump declared that his plan would "provide major tax relief for middle income and for most other Americans. There will be a major tax reduction. It'll simplify the tax code, it'll grow the American economy at a level that it hasn't seen for decades."

"It's going to cost me a fortune," Trump claimed, adding: "We have an amazing code. It will be simple, it will be easy, it will be fair."

Trump, who has lately been increasingly pressed to provide further details about the way in which his administration would govern, explained that under his plan, individuals who make less than $25,000 a year and married couples who make less than $50,000 would not pay any income taxes.

According to Trump's tax plan, households that will pay no federal income taxes would "get a new one page form to send to the IRS saying, 'I win."

Trump's tax plan also includes a proposal to levy a one-time 10 percent tax on corporate earnings held abroad, regardless of whether or not profits are brought back to the U.S.

Yet, Trump's plan also includes a number of proposals favored by conservatives, including cutting the top individual tax rate from 39.6 percent to 25 percent, and getting rid of both the alternative minimum tax and the estate tax. What's more, under Trump's plan, all business would face a top tax rate of 15 percent - a sharp decline from the current corporate rate of 25 percent.

Trump's proposal would also held some of the wealthiest people in America, like himself. Under Trump's plan, the top income bracket, which includes individuals making $150,001 or more and couples that make $300,001 or more, would pay an income tax rate of 25 percent - a significant cut from the nearly 40 percent current tax rate on top income earners.

When asked during the press conference how his plan would affect his own tax rate, Trump evaded the question, and said, "We're reducing taxes, but believe me, there will be people in the very upper echelon that won't be thrilled about this."

Trump's tax plan is the third major policy proposal he announced, the second being his plans on the Second Amendment and the first being his outlandish proposals for immigration reform, which have been widely viewed as implausible.

Sources: The Hill, CNN

Photo credit: CNN