“The Tax Policy Center took a close look at Republican nominee Mitt Romney’s proposed tax and economic plan and concluded that it would cut taxes for the richest Americans and actually raise them on the poor. Romney has proposed cutting all tax rates by 20% and eliminating tax deductions, while also capping federal government spending at 20% of GDP. After doing the math, the Tax Policy Center concluded that this would help the country’s highest-earners and hurt the lowest-earners.”
This proposal is coming at a time when US personal tax rates are near historic lows and the top 10 most profitable US companies paid just 9% of their pre-tax earnings to the federal government last year helping them to amass record levels of cash on hand. Even more cash in the hands of the 1% will not help to spur a strong economic recovery. Only more customers with income can do that.