One must remember, in the political world, not raising taxes is couched as a tax cut. Me not taking your money is me giving you money.
A PolitiFact fact-check of President Trump’s campaign launch last week in Orlando that was run in newspapers nationwide went horribly, embarrassingly, laughably wrong on the one count in which they ruled Trump was “wrong.”
Here’s what PolitiFact wrote that Trump got wrong:
(We passed) “the biggest tax cut in history.”
Trump often repeats this point, but three tax cuts were larger. In inflation-corrected dollars, the American Taxpayer Relief Act of 2012 cut $321 billion per year. The Tax Relief Act of 2010 cut them by $210 billion per year. And the Economic Recovery Tax Act of 1981 reduced taxes by $208 billion a year.
The 2017 Tax Cut and Jobs Act cut taxes by $150 billion a year.
You, like me, might be shocked to find out that Obama signed much larger tax cuts during his administration. Twice! Seems like that would have been pretty big news — and pretty out of character. But a quick google of the American Taxpayer Relief Act of 2012 finds the details at Investopedia.
The truth? Neither was a tax cut.
They were both a continuation of the Bush tax cuts that were set to expire. So if they had expired and the tax rates reverted to their higher levels, it would have been a tax increase. But they did not. This supposed “tax cut” actually did nothing more than keep taxes at the exact same level as they were.