President Trump promotes tax cuts, eyes 2020 in Burnsville visit

Internal Revenue Service Commissioner Charles Rettig testifies on his agency's budget before a House Appropriations Subcommittee hearing on Capitol Hill

CNN's chief business correspondent Christine Romans kicked off Tax Day 2019 by explaining the effects of President Donald Trump's tax cuts - and it looks like most Americans are benefitting. The new tax law, which went into effect on January 1, 2018, cut taxes largely across the board, but heavily favored corporations and wealthy individuals.

"It is quite a bit earlier than it was mainly due to the Tax Cuts and Jobs Act, which reduced federal tax liability quite a bit", Pomerleau said. To make matters worse, Trump is trying to pay for his tax cuts for the rich by gutting Medicare, Medicaid, and Social Security to the tune of over one trillion dollars and slashing funds for our classrooms.

The Walzes were also subject to a phenomenon experienced by many Americans: Even though their total federal tax burden went down, they found themselves owing at the end of the year more than prior years.

The issue may boil down to size.

Further muddling the picture was the federal deduction for state and local taxes being capped at $10,000, which has mattered in high-tax states such as Minnesota, California and NY, among others.

More than 6 in 10 Americans told CBS News they think large corporations and wealthy people benefited from the tax overhaul. Just 17 percent of those polled believed their taxes went down. He also says a package of corporate and individual tax cuts he signed into law in 2017 are "working very, very well".

"This is not what the tax cutters promised, or bragged about soon after the tax bill passed", Mishel wrote in a blog post about the analysis.

"Winning? Well, most USA taxpayers", she said. However, Romans claimed that most taxpayers are actually "winners". The best way to gauge if you're coming out ahead is to determine what's known as your "effective" tax rate, a percentage that represents how much of your annual income was paid in taxes. That's a 23.7% effective tax rate.

The Form 1040 for this year's tax season has a slightly different format.

This year's Tax Freedom Day was to fall on April 16 - 105 days into the year.



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