Lazy Saturday Reads: “A Historic Tax Heist” — NYT Editorial Board

Good Morning!!

Republicans are celebrating their tax cut “victory” this morning, but the fight isn’t over yet. The bill still has to be reconciled with the House version and then voted on again by the House and Senate. I have to admit I’m pretty depressed about it, so this post will largely be a link dump.

The Week: The GOP’s massive tax overhaul is a monstrosity.

In a truly wild and dizzying Friday night and Saturday morning in Washington, Senate Republicans committed collective political suicide by passing a deeply detested tax bill they were still writingseemingly moments before they jammed it through on a party-line vote with no hearings and no meaningful input from a public that hasn’t even seen the text of the legislation.

As dawn broke Friday over the undrained swamp, it looked like the tax legislation was still in trouble, with Republican senators Bob Corker (Tenn.), Jeff Flake (Ariz.), and Susan Collins (Maine) all wavering. ­­­And as of Friday night, the text of this bill, which will restructure the entire American tax system and its economy, had not yet been released to the public, leaving Democratic senators and outside analysts guessing as to which radioactive provisions would be in it, which would be left out, and exactly where various tax levels would be set. Sen. Claire McCaskill (D-Mo.) tweeted a photo Friday evening of amendments that would be voted on shortly and that she had to obtain from lobbyists rather than her colleagues across the aisle. The absurdity was almost unspeakable.

As the day wound down, Senate holdouts, especially those who were lionized by the left as principled heroes during July’s failed ObamaCare vote, had fallen in line and said they would vote to slash taxes on corporations, trustafarians, and hedge fund managers while raising them on poor, working class, and middle class Americans. Together these titans of high-minded values said they were ok with their colleagues’ plan to peel a bunch of hundred dollar bills off of America’s dwindling wad of national cash and stuff them directly into the pockets of their billionaire bankrollers.

Tom Toles Editorial Cartoon

Regular order? On Wednesday, John McCain (R-Ariz.) announced he was fine sending this diabolical, 479-page Dybbuk through the Senate even though no one in the chamber had time to read it even once. Democratic pleas to at least postpone the vote until Monday so that our national leaders might actually skim the legislation were ignored. Protecting Medicaid for vulnerable Alaskans? When it came time to screw the poor, Lisa Murkowski (R-Alaska) was totally cool with it as long as she could trash the Arctic National Wildlife Refuge with oil drilling in return. Collins, who was wavering Thursday, voted for the bill in the end, all but giving the finger to the Mainers who gave her those airport standing ovations after she stopped TrumpCare. Flake got on board when the White House made some meaningless promise to him that he would be part of any “conversation” about a DACA resolution later this year. Sen. Bob Corker (R-Tenn.) was the only final holdout.

At the end of the day, Republicans revealed that their entire caucus is bereft of dignity, shame, honor, and any commitment to a single thing any of them have ever said in public about how laws should be made in the United States.

Read it and weep.

Mother Jones: Senate Passes Sweeping Tax Bill That Overwhelmingly Benefits the Wealthiest Americans.

There were a smattering of last-minute changes tucked into the nearly 500-page bill, but the core of it is quite simple: a permanent tax cut for corporations combined with much smaller, and temporary, benefits for everyone else. Over the next decade, the $1.4 trillion tax cut would disproportionately reward the wealthiest Americans while piling on the national debt—which in turn will likely be used by Republicans as a justification for cutting Social Security, Medicare, and Medicaid.

The House, which already passed its own tax bill last month, and the Senate are expected to work out the differences between their bills in conference meetings. Then each chamber would vote again, and send the final product to President Donald Trump’s desk for his signature. Trump hopes to sign what he has called his “big, beautiful Christmas present” to the American people by the end of the year.  

Before the individual cuts expire in 2026—ending the bill’s most charitable years—the top 1 percent would receive slightly more of the tax cut than the bottom 60 percent of Americans combined. Without the individual tax cut, the top 1 percent would get start getting 61 percent of the benefits. And at that point, the vast majority of middle-class taxpayers would receive essentially nothing, or end up paying higher taxes….

Republicans say they’ll eventually extend those individual cuts. But there is good reason to doubt that. The United States will be facing unprecedented debt levels when it comes time to renew the cuts. The annual deficit would be $1.4 trillion in 2025, up from about $700 billion today. The Senate bill asks Americans to trust that a future Congress, comprised of different members, will continue to ignore deficits.

Supposedly the bill includes a lot of completely nonsensical policy changes, including defining life as beginning at conception. We already know that the bill basically repeals Obamacare and throws 13 million people off health insurance. It also cuts Medicare, and the Republicans will use the inevitable budget deficits to push for cuts in Social Security and more cuts in Medicare and Medicaid. Never miss a great Ancestry promo coupon and get our best coupons every week. Learn more at http://www.groupon.com

The Washington Post: GOP eyes post-tax-cut changes to welfare, Medicare and Social Security.

High-ranking Republicans are hinting that, after their tax overhaul, the party intends to look at cutting spending on welfare, entitlement programs such as Social Security and Medicare, and other parts of the social safety net.

House Speaker Paul D. Ryan (R-Wis.) said recently that he wants Republicans to focus in 2018 on reducing spending on government programs. Last month, President Trump said welfare reform will “take place right after taxes, very soon, very shortly after taxes.”

As Republicans advocate spending cuts, they have frequently cited a need to reduce the national deficit while growing the economy.

“You also have to bring spending under control. And not discretionary spending. That isn’t the driver of our debt. The driver of our debt is the structure of Social Security and Medicare for future beneficiaries,” Sen. Marco Rubio (R-Fla.) said this week.While whipping votes for a GOP tax bill on Thursday, Senate Finance Committee Chairman Orrin G. Hatch (R-Utah) attacked “liberal programs” for the poor and said Congress needed to stop wasting Americans’ money.

“We’re spending ourselves into bankruptcy,” Hatch said. “Now, let’s just be honest about it: We’re in trouble. This country is in deep debt. You don’t help the poor by not solving the problems of debt, and you don’t help the poor by continually pushing more and more liberal programs through.”

Hatch and his buddies want to “help” the poor and elderly by letting them die in the streets. Or maybe they’d decide that the right to life ends at birth.

The latest CBO score was released just before the vote, and it predicts the same results as the previous one. The Hill reports: CBO: Senate tax bill increases deficit by $1.4 trillion.

The Senate GOP tax plan will increase the deficit by more than $1.4 trillion over a decade, according to a new analysis by the Congressional Budget Office (CBO).

The CBO score comes as senators are already voting on amendments to the legislation and are expected to pass the bill in the early morning hours of Saturday.

The legislation, according to CBO, would have the largest deficits between the 2019 fiscal year and the 2022 fiscal year.

The finding comes as GOP senators have largely ignored warnings that their tax plan would increase the deficit. Republicans argue that economic growth will more than make up for any increases to the national debt.

It could be a lot worse than that. What domestic or foreign students will be able to earn doctorates in the U.S. if they have to pay taxes on the tuition that Universities waive in return for grad student labor? Corporations will continue ship jobs overseas and channel their profits to their shareholders. This bill is likely to throw our economy into another tailspin. I’ll leave it up to Dakinikat to discuss that.

The Washington Post lists some of the disagreements between the House and Senate versions of the bill that will have to be resolved: Here are 7 differences Republicans must resolve between their tax bills. They include the ACA individual mandate, the estate tax, the expiration of individual tax cuts, the child tax credit, the mortgage interest deduction, the new tax brackets, and the timing of the corporate tax cuts. Of course it’s possible Ryan could decide to try to get the House to pass the Senate version as is. We’ll have to wait and see.

The New York Times Editorial Board: A Historic Tax Heist.

With barely a vote to spare early Saturday morning, the Senate passed a tax bill confirming that the Republican leaders’ primary goal is to enrich the country’s elite at the expense of everybody else, including future generations who will end up bearing the cost. The approval of this looting of the public purse by corporations and the wealthy makes it a near certainty that President Trump will sign this or a similar bill into law in the coming days.

The bill is expected to add more than $1.4 trillion to the federal deficit over the next decade, a debt that will be paid by the poor and middle class in future tax increases and spending cuts to Medicare, Social Security and other government programs. Its modest tax cuts for the middle class disappear after eight years. And up to 13 million people stand to lose their health insurance because the bill makes a big change to the Affordable Care Act.

Yet Republicans somehow found a way to give a giant and permanent tax cut to corporations like Apple, General Electric and Goldman Sachs, saving those businesses tens of billions of dollars.

Because the Senate was rewriting its bill till the last minute, only the dealmakers themselves knew what the chamber voted on. There will, no doubt, be many unpleasant surprises as both houses work to pass final legislation for President Trump to sign.