On Tuesday, November 8th, Americans will have the opportunity to vote for the next President of the United States of America. There are a number of candidates, but the two main ones are Republican Donald Trump and Democrat Hillary Clinton. Each offers a different tax plan for the country. One candidate favors individuals and businesses keeping more of the money they earn and the other candidate favors raising taxes on individuals and businesses. One candidate believes that individuals and businesses make better decisions with their own money and another candidate believes that when a person makes a great deal of money, the government will make better decisions what to do with the money.
Presidential candidate Hillary Clinton plans to raise taxes on individual and business income. Clinton wants to raise taxes to limit tax deductions and to place an extra 4% tax on individuals with incomes over $5 million. This would raise the marginal tax rate on those earning more than $5 million to 43.6%. Clinton wants to enact a minimum 30% minimum tax on individuals. She would like to have the estate tax rise to 45%. The estate tax is tax on a person’s estate after he dies. Clinton would like to raise the top tax on investments (long-term capital gains) to 47.4%.
Presidential candidate Trump plans to lower taxes on individuals and businesses. Trump plans to get rid of the current tax brackets and replace them with three rates: 12%, 25%, and 33%. (Currently, tax rates are 10%, 15%, 25%, 28%, 33%, 35%, and 39.6%. The more a person makes, the higher his tax rate is.) Trump wants to eliminate the investment income surtax. This means he wants investors to not be taxed extra for investing. Trump wants to lower the top corporate tax rate from 39% to 15%. Trump wants to eliminate the estate tax, so that when a person dies, all of his wealth transfers to his family tax free.
The tax plans of the two Presidential candidates and their respective political parties greatly differ from each other. The Republicans and candidate Trump think that lower taxes will allow Americans to keep more of what they make. They think that individuals and businesses will then spend and hire more, and that this would improve the economy. The Democrats and candidate Clinton think that higher taxes will make the wealthier pay more to the government, and the government will be able to take that money and invest it wisely. They think that government leaders will make decisions that improve the lives of Americans.
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John De Gree
John De Gree writes the current events with a look at the history of each topic. Articles are written for the young person, aged 10-18, and Mr. De Gree carefully writes so that all readers can understand the event. The perspective the current events are written in is Judeo-Christian.
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