AAF: Setting Bloomberg Straight on Tax Cuts

For more information, please contact AAF Policy Director John Shelton at jshelton@advancingamericanfreedom.com

AAF: Setting Bloomberg Straight on Tax Cuts

TOPLINE: Only in Washington is it ‘bad’ for Americans to keep more of their money. Bloomberg just published a piece highlighting the supposed ‘costs’ of extending the Trump-Pence Tax Cuts and Jobs Act (TCJA) and letting Americans keep more of their own money. TCJA created instant income growth resulting in higher incomes for American families. • Between 2017 and 2019, household income grew from $72,090 to $78,250. • That is an increase of $6,160 or 8.5%. Under “Bidenomics,” American families are struggling to make-ends-meet. • Between 2020 and 2022, household income fell from $76,660 to $74,580. • Under President Biden, family incomes have dropped by $2,080 or 2.7%. TCJA increased revenue, outpacing projections: • 6 years post-TCJA, tax revenue has beat pre-TCJA estimates. • Why? Because lower rates mean more economic activity.

Here is the truth about TCJA: • Tax revenue in ’21, ’22, & ’23 was $833 B higher than CBO predicted. • Tax revenue in ’24 is now projected to be $1.56 T higher than CBO predicted. • Total tax revenue is projected to be $2.58 T higher than CBO predicted. • From '18 to ’23, annual revenue increased from $3.3T to $4.44 T, an increase of $1.1 T (33%).

Congress’s inability to stop spending money we do not have—not TCJA’s increased revenue—is responsible for growing deficits. • Congress continues to spend at COVID+ levels despite the pandemic being over. • President Biden’s most recent budget proposal calls for $7.3 T in federal spending.

o Biden’s so-called “American Rescue Plan” spent $1.8 T. o Biden's “Green New Deal lite” plan scored at $764.9 B, but now it's expected to cost

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