Everything you need to know
By Jeff Andrews Dec 20, 2017, 2:15pm EST
Republicans say the Tax Cuts and Jobs Act is a massive tax cut that will spur investment, jobs, and economic growth. But Democrats counter that the bill is a brazen effort to loot the American government, with an eye toward unraveling social safety programs like Medicare, Medicaid, and Social Security.
But having passed the House and Senate, the bill is now a President Trump signature away from becoming the law of the land, so what does it mean for you, the taxpayer?
In the past, tax reform efforts have tried to simplify the tax code and remove special-interest deductions that have become entrenched since the United States ratified the income tax in 1913. The Tax Cuts and Jobs Act makes no attempt to simplify the code; if anything, it does the opposite, introducing new loopholes while making only a minor effort to reel in special interests.
The bill’s primary function is a massive corporate tax cut, dropping the rate from 35 percent to 21 percent. Individuals will get an across-the-board cut as well, albeit small, but in an attempt to offset some of the $1.5 trillion cost, the individual cuts expire after 2025.
How does this impact you? We’ll walk you through the basics: