In a speech in Springfield, Missouri, last week, President Donald Trump launched his plan to overhaul the federal tax system.
Ahead of Congress’ return from summer recess, President Donald Trump outlined his tax reform goals and called for bipartisan support in a speech to small business owners and politicians in Springfield, Missouri, on Wednesday. “This is our once-in-a-generation opportunity to deliver real tax reform for everyday hardworking Americans, and I am fully committed to working with Congress to get this job done,” Trump said.
The House and the Senate returned from recess on September 5 and have an extensive to-do list before the end of the year, including overhauling the federal tax code for the first time since Ronald Reagan in 1986.
During his speech Wednesday, Trump told attendees that his tax reform principles would put business first. “We’re here today to launch our plans to bring back Main Street by reducing the crushing tax burden on our companies and on our workers,” Trump said.
Trump’s tax plan aims to rewrite the tax code to reduce complexity, to make the tax code more competitive globally, to lower tax rates for the middle-class, and to return the large sums of money invested overseas back to the United States, according to The Hill. The president also shared his desire to lower the business tax rate to 15 percent. The current corporate tax rate is 35 percent.
Trump left the specific policy details to be decided by the tax-writing committees in Congress and pushed for bipartisan collaboration. “Today I’m calling on all members of Congress—Democrat, Republican and Independent—to support pro-American tax reform,” he said.
In order for small businesses to benefit, small business rate parity must be added into the tax reform discussion. Any new tax proposal needs to ensure that small businesses are not disadvantaged by a tax rate that is higher than large corporations.
“Tax reform has the potential to have an enormously positive impact on small businesses; it is their top priority in 2017,” wrote NFIB President and CEO Juanita Duggan in a testimony to the U.S. House Ways and Means Committee.