President Donald Trump has taken to Twitter to celebrate the fact that he may finally see his first piece of legislation passed into statute. It had been widely expected that Trump’s tax reforms would be passed by both houses yesterday, but last minute hitches mean that the Tax Reform Bill will face a final vote in the House this morning. Trump has announced that he will hold a press conference at the White House if the bill passes. If the tax bill passes it will hand Trump the first legislative victory of his controversial presidency.
Approval of the tax bill will be a huge boost for the Trump presidency, and despite his claims to the contrary, it will be a huge boost for Trump’s personal finances. As reported by the Washington Post, Donald Trump is the first president in recent history to refuse to release his tax returns, and he is anxious to have us believe that he will not benefit personally from the changes to tax law.
According to the New York Times, Trump told a crowd in Missouri last week that the tax changes would “cost him a fortune.” They argue that Trump’s claims are “just not true,” and that the new tax code “seems almost tailor-made to enrich the president and people like him.” CNN counters Trump’s claim that he will be hurt by the tax changes by pointing out that every independent analyst calculates that Trump and his family will enjoy a huge windfall as a result of the new tax code.
As reported by Politifact, the numbers involved are staggering. They claim that independent analysis shows that the Trump family could make a net gain of over $1.1 billion from the tax changes. Last year, Trump’s lawyers revealed that he owns around 500 separate businesses that qualify as “pass-through entities.” These include Trump’s property holding, golf courses, and resorts. Those “pass-through entities” will enjoy a tax cut of almost 15 percent.
Trump’s business empire will also benefit from changes to the estate tax, capital writeoff’s, and the repeal of the Alternative Minimum Tax provisions. According to the International Business Times, Trump and 14 Republican Senators will benefit financially from a special provision that could give them a new tax cut through their real estate shell companies. Almost unbelievably, the provision was introduced by Senator Orrin Hatch of Utah, one of those who will benefit personally from the provision.
As CNBC reports, Donald Trump’s tax changes benefit the richest most. Their calculations show that anyone earning under $75,000 will be hurt by Trump’s tax code changes, whilst someone earning $1 million will benefit by almost $60,000 in the first year alone.