But as Thursday's news conference indicated, the theory underpinning that belief is mostly a matter of faith, rather than economics.
The controversy is over who will gain the most: the rich and corporations.
The Tax Cuts and Jobs Act would lower the corporate tax rate from 35 percent to 20 percent and collapse the seven tax brackets paid by families and individuals down to four.
Unemployment is at a 16-year low of 4.2 percent.
The news on Thursday that Congress does not (for now at least) plan to fundamentally alter our workplace savings plans was a pleasant surprise on its own. But on the corporate side, the tax cuts overwhelm the reductions in tax breaks and special deals.
To House Republicans, the legislation they unveiled Thursday is a simplification of the tax code that will benefit the bottom line of most Americans, particularly the middle class. To Democrats, the bill represents a major tax cut for the wealthy at the expense of popular provisions aimed at directly helping middle-class earners. Following is a transcript of the video.
That means their combined tax bill would be $9,268 - only 8% more than when they were married, and nearly $2,000 less than under the Republican plan. That could raise demands to reduce those taxes at the state and local level, jeopardizing the crucial funds that make up the lion's share of public school funding.
Spending also needs to be addressed.
The Republican tax plan hasn't met the expectations of advocates for "family-friendly" tax reform. Capital expenditures, however, are a special case.
"Without access to the tax-exempt bond market, borrowing to build facilities will be more expensive", Clark said. Section 179 expensing for pass-through businesses would increase from $500,000 to $5 million, with a higher phaseout threshold.
It's unclear how the anti-abortion language got into the tax bill. The bill would also eliminate a tax credit for enhanced oil recovery (EOR), which pumps water or carbon dioxide into aging wells to extend their productive life.
The Congressional Budget Office has estimated that repealing the individual mandate would save $416 billion over a decade. "But this is still a deficit-exploding tax cut at a time when the deficit is at near record levels". "Billionaires and the biggest corporations". The Tax Cuts and Jobs Act, as it's called, was revealed and there are a lot of details that could impact your money next year if the plan gets passed.
However, the bill would allow people to deduct the first $10,000 of local property tax from their federal tax bill. A surge in the tech stocks brought the Nasdaq to a new high.
Currently, some taxpayers are allowed to claim deductions of up to $2,500 on interest on student loans. This results in a tax advantage for debt financing over equity financing, providing a subsidy for some investments while distorting business decision-making.
The legislation has been met with backlash elsewhere in the housing market.
The bill eliminates the most widely-used deduction - income tax - and caps property tax deductions, the second most-used, at $10,000. Credits for orphan drugs, private-activity bonds, rehabilitation, and contributions to capital would also be eliminated. The National Federation of Independent Business agrees. It turns out that Americans don't like to be punished for doing the right thing, financially, for themselves and their families.
Brownback's catastrophic imbibing of straight supply-side Sterno crippled his state, and the Center for American Progress immediately pointed out the similarities between what Brownback did in his state and what the Republican plan proposes to do to the country.