President Trump signed the BBB bill on Friday. The BBB trims spending for the first time in memory and cuts income taxes on tips and overtime and sort of exempts Social Security with a $6,000 tax deduction for those of us 65 and older.
The bill also makes the 2017 tax cut permanent. Everyone benefitted from that tax cut from those who paid little to those who paid a lot. No Democrat supported the BBB. The Democrats wanted the tax cuts to expire. That would have resulted in the largest tax increase in American history. Let’s remember that in 2026 when the Democrats are looking to win back the House and Senate.
The 2017 tax cut was very important to the economy because that bill cut the federal corporate income tax rate to a flat 21%. The USA’s old tax rate was 35%—the highest in the world. And Obama had been pushing to up that to 39%. This led to corporations moving their headquarters off shore. Under President Obama, 28 American corporations moved their headquarters and cash overseas to take advantage of lower foreign taxes.
Pro-growth policies like a competitive corporate tax rate, incentives for U.S. companies to keep American intellectual property here and tax reforms addressing revenue earned in foreign countries, make American workers and businesses more competitive around the world. In the seven years since the Trump tax cuts took effect, no American corporation has moved to put its headquarters overseas.
The Trump tax cuts worked. The Democrats wanted to end those cuts because they worked.
Planned Parenthood has been directly responsible for the killings of millions of children. Republicans for years said they would defund PP. They never did. Trump got Congress to do it. How much of a drain on Democratic fundraising will this be?
How about the border? During Trump’s first time around, Republican congressional leaders refused to fund the wall that would have helped stop the flow of hordes of illegal aliens, many of them violent criminals. This was particularly true when FJB decided to allow the border to be overrun.
The BBB provides funding for the wall as well as 10,000 additional ICE officers. Trump is protecting Americans. FJB hired 87,000 IRS agents to go after middle America.
Trump’s accomplishments in less than six months are extraordinary. It should be interesting to watch how the tariff saga will play out. July 9th is upon us.