In his column on the Tax Cuts and Jobs Act (TCJA), former Senator Ted Kaufman claimed that even those parts that were seemingly intended to help the poor ended up as boondoggles for the rich. However, only one of his three examples (Marina Village in Florida) seems apropos.
Re the Hudson Yards project on the West side of Manhattan, under construction since 2012, the EB-5 investor visa program is authorized by our immigration laws. And FedEx’s negative tax rate in 2018 reflected a deferred tax adjustment that substantially exceeded the reduction in their tax payments.
A key feature of the TCJA is a cut in the corporate tax rate (from 35% to 21%, which was needed to make US investments globally competitive). OK, some companies may be using their tax savings for stock buybacks, but investors whose stock is repurchased can invest the proceeds in other companies.
Finally, given the closing that this country needs tax reform “big time,” one might think Kaufman would have supplemented his plug for “getting rid of just about everything in the 2017 Trump tax bill” with some positive suggestions.