Trump Tax Savings Are Rewarding Corporations, Not Paying For Needed Infrastructure
March 7, 2018
A new poll shows that 64% of Americans say they have not seen any increase in their take-home pay as a result of the Trump tax. Big corporations are using their tax savings windfall to benefit themselves and their wealthy shareholders, not their workers.
Instead of giving billions in tax breaks to corporations and the wealthy, Senate Democrats today proposed a plan to use that money to directly benefit the middle class by reinvesting it in our nation’s infrastructure and creating close to 15 million middle-class jobs.
The overwhelming trend continues – Companies are using savings from the Trump tax to benefit themselves and their wealthy shareholders, not their workers.
Fast Company: “Workers Are Getting Basically Nothing From The Corporate Tax Windfall”
Huffington Post: “New Tax Law Benefiting Shareholders More Than Workers So Far”
Wall Street Journal: “The U.S. corporate tax cuts and incentives for investment and repatriation of foreign cash are meant to help growth and wages, and many companies, from AT&T to WalMart, have announced pay increases for low-wage workers. However, the cost of these moves likely pales in comparison to the hundreds of billions being spent in the hunt for growth and higher returns.”
USA Today Editorial: “The tax bill was sold as a way to create jobs and boost stagnant wages. So far, at least, corporations have been showing more concern about shareholders than about employees or the economy as a whole.”
CNN Money: “Buybacks have exploded in 2018 thanks to windfall from the Republican tax law. […] Yet the money devoted to workers pales in comparison with the buyback bonanza.”
CNBC: “Companies projected to use tax cut windfall for record share buybacks, JP Morgan says.”
New York Times: “The white working-class voters in the industrial Midwest who helped put Mr. Trump in the White House are now seeing the extra cash from the tax cut, the president’s signature domestic policy achievement and the foundation for Republican election hopes in November. But the result has hardly been a windfall, economically or politically. Other workers described their increase as enough for a week’s worth of gas or a couple of gallons of milk, with an additional $40 in a paycheck every two weeks on the high side to $2 a week on the low. Few are complaining, but the working class here is not feeling flush with newfound wealth.”
Trump decided to push a $1.5 trillion tax giveaway primarily to the wealthy and big corporations instead of making a significant federal investment in infrastructure to directly benefit middle-class workers.
CNBC: “Trump infrastructure plan comes up $1 trillion short of its funding goal, analysis finds.”
Associated Press: “Trump's infrastructure proposal has seen less interest in Congress. It relies mostly on private and local government funding, with about $200 billion in federal investment.”
New York Times: “President Trump’s $200 billion plan to rebuild America upends the criteria that have long been used to pick ambitious federal projects, putting little emphasis on how much an infrastructure proposal benefits the public and more on finding private investors and other outside sources of money.”
Brookings: “Trump’s infrastructure plan puts workers at the bottom. They should be at the top.”
Today Senate Democrats proposed a plan to reinvest the massive windfalls Republicans gave to the wealthy and big corporations to rebuild our nation’s infrastructure and create middle-class jobs.
Washington Post: “Democrats to unveil $1 trillion infrastructure plan, seek reversal of GOP tax cuts to finance it.”
Associated Press: “For Senate Democrats, voting against the Republican tax cuts that President Donald Trump signed into law wasn’t opposition enough. Now they have a plan to reverse some of the tax breaks for corporations and the wealthiest Americans and put the money instead toward a $1 trillion infrastructure package.”
Senate Minority Leader Chuck Schumer: “We believe overwhelmingly the American people will prefer building infrastructure and creating close to 15 million middle-class jobs than giving tax breaks for the wealthy.”