Jeb Bush’s tax plan would lower taxes for everyone, but the cuts would disproportionately favor certain individuals — individuals like himself. Bush outlined his proposed tax refortms earlier this month, which he says will “unleash 4 percent growth.” In an op-ed for the Wall Street Journal, Bush outlined his plan to create fewer tax brackets, lower corporate tax rates, and give a gigantic $3 million gift to himself.
On Sunday, Fox News’ Chris Wallace hammered the Florida Governor’s tax plan, pointing out that Bush’s own father had derided something similar when it was proposed by right-wing hero Ronald Reagan.
“You gave your tax plan to four conservative economists who said that it would increase the deficit between 1 and 3 trillion dollars over the next ten years,” Wallace said. “Now, Ronald Reagan proposed something roughly similar — big tax cuts — back in 1980 and he argued that the dynamic effect — the word you used — the growth would end up paying for the revenue loss.”
“You know what your dad called that?” Wallace asked. “Is this your version of ‘voodoo economics’?”
“It’s not the government’s money,” Bush snwered. “If we can allow people to have more money, clearly that’s going to create economic growth.”
“But whether it was Ronald Reagan’s tax cuts or your brother’s tax cuts, they did add greatly to the deficit,” Wallace pointed out.
“They didn’t add as greatly as the static thinkers on the left think,” Bush insisted. “They created a dynamic effect of high growth. If people think 2 percent growth is okay then we’ll have more people living in poverty, and disposable income for the middle class will continue to decline. We have to jump start the economy so people can have more money to make decisions for themselves.”
Wallace then laid out some hard facts for Bush:
“The Tax Foundation says the middle class would see after-tax income increase 2.9 percent, but the top one percent would get a boost of 11.6 percent. An analysis of your tax returns the last six years which you have released to the public indicates that you would save under your tax plan $3 million dollars.”
“Does Jeb Bush need a $3 million tax cut?” Wallace asked.
“Look, the benefit of this goes disproportionately to the middle class,” Bush argued, facts be damned. “If you look at what the middle class pays today compared to what they pay in our tax…plan –.” Bush trailed off, a glazed look overcoming his face.
“It’s a 2.9 percent increase,” Wallace repeated, in case Bush did not hear him point out earlier that the wealthy disproportionately benefit from the plan.
A defiant Bush finally dropped the facade:
“Because Higher income people pay more taxes right now. Proportionally, everybody will get a benefit, but proportionally they’ll pay more with my plan than what they pay today.”
“Well, forgive me sir, but 2.9 seems like it’s less than 11.6,” Wallace said pointedly.
“This simple fact is 1 percent of people pay 40 percent of all the taxes,” Bush declared. “And so of course tax cuts for everybody is going to generate more for people that are paying a lot more. I mean, that’s just the way it is.”
In other words, Bush admits that his tax plan would be a gigantic gift to the wealthy — including himself.
Watch the video, below:[youtube http://www.youtube.com/watch?v=fgG6eNC2ccE&w=640&h=360]
Featured Image via YouTube screen capture.