Diary

Lee-Rubio Tax Plan: Lower, Simpler, Fairer, Flatter, Better

Senators Lee and Rubio revealed a tax plan that should be a blueprint for tax reform: it simplifies the 7 brackets of personal income tax to two, 15% and 35%, eliminates almost all deductions except for the popular mortgage interest deduction and charitable deductions, and expands the child tax credit to $2,500.  It also lowers the corporate income tax from 35% to an internationally competitive 25%, and eliminates investment taxes on capital gains and dividends.

Rubio said that this combined with entitlement reform would be an engine to fix the structural deficit while being the most pro-growth and internationally competitive tax structure the country has ever had.

Of course this plan will be vetoed by the President, but a GOP President (perhaps Rubio himself, or President Scott Walker with Vice President Rubio) will hopefully sign it into law in 2017.