LETTER TO THE EDITOR: President’s tax cuts are working and everyone needs to know it
The chairman of the Council of Economic Advisors, Kevin Hassett, recently asserted that once the economy has time to fully assimilate to the new measures, the average American family will be gifted an extra $4,000 a year thanks to the tax cuts package. But with a reduction in federal withholding soon to kick in, Americans can expect a bump in their paychecks as soon as this month.
Hassett’s claim comes during an endless waterfall of businesses announcing a variety of new investment in employees and expansion. In fact, according to Americans for Tax Reform, thanks to the Tax Cuts and Jobs Act, over 3 million employees have already received a wage hike, 401(k) increase, or bonus and nearly 80 businesses have publicly announced they are permanently increasing employee pay.
More than half of them even bumped their entry-level wage to $15 an hour — a wage level that many on the left have demanded for a while. Their self-imposed changes make it glaringly obvious that businesses don’t need a government mandate to raise wages, they simply require sound fiscal policies and a thriving economy.
Furthermore, companies like Apple and Exxon Mobil have announced renewed investment in the U.S to the tune of tens and hundreds of billions of dollars, citing the tax bill as a driving force behind the decision. The money will fund job creation, new facilities, product development and much more. While these large-scale benefits of the Tax Cuts and Jobs Act grab headlines, more modest observations go undetected. As the business manager of a GM dealership, I’ve already noticed a change in our sales numbers.
Armed with the knowledge that they’ll soon be receiving tax relief, potential buyers are now becoming customers — no longer having to delay their purchase of a new automobile.
My observation is mirrored on a larger scale by the U.S. consumer confidence index, which remains near a 17-year high under President Trump.
However, you would never know that tax cuts are generating so much business growth and economic prosperity because much of the rhetoric circulating through the mainstream media is misleadingly negative. Headlines like “Are Corporate Tax Cuts Raising Pay? Yes, for Bosses” or “Pay Raises From Tax Cuts Are Fake Generosity” run rampant.
Meanwhile, lawmakers such as House Minority Leader Nancy Pelosi (D-Calif.) refer to the bill as a “dark cloud hanging over the capital” and label the $1,000 bonuses that many employees are receiving as “crumbs” — a far cry from when she called a $40 paycheck increase a win for the average American in 2011.
The hypocrisy of many Democrats flies in the face of reality. So it’s important that we educate the public about the real benefits of tax cuts and show how such policies help everyone. For job creators, this means telling your employees that the bonus they received or the wage hike they now enjoy is thanks to the tax bill. For the media, this means being honest during a broadcast and not simply repeating the propaganda of dishonest ideologues. And for the average American, this means discussing the issue with your friends, family and neighbors.
The Tax Cuts and Jobs Act is sound policy and a win for the American people. Eventually, everyone will have to acknowledge that, even those who now fiercely oppose it.
— Brett Curnutt, Tipton