The America We Deserve: on Tax Reform
Repeal the inheritance tax to offset one-time wealth tax
I would impose a one-time, 14.25% tax on individuals and trusts with a net worth over $10 million. For individuals, net worth would be calculated minus the value of their principal residence. That would raise $5.7 trillion in new revenue, which
we would use to pay off the entire national debt [and shore up the Social Security Trust Fund].
My proposal would also allow us to entirely repeal the 55% federal inheritance tax. The inheritance tax is a particularly lousy tax because it can often
be a double tax. If you put the money into trust for your children, you pay the inheritance tax upon your death. When the trust matures and your children go to use it, theyíre taxed again. Itís the worst.
Some will say that my plan is unfair to the
extremely wealthy. I say it is only reasonable to shift the burden to those most able to pay. The wealthy actually would not suffer severe repercussions. The 14.25% net-worth tax would be offset by repeal of the 55% inheritance-tax liability.
Source: The America We Deserve, by Donald Trump, p.170-74
Jul 2, 2000
Simplify tax code; end marriage penalty & other hidden taxes
Let me sum up what is wrong with the tax code.
Source: The America We Deserve, by Donald Trump, p.183-84
Jul 2, 2000
- Its complexity bleeds off billions of productive hours.
- Tax rates are too high.
- Hidden taxes take even more.
- High property taxes punish people for improving their property.
- Our code
discriminates against married people.
- The complexity of the tax code allows too much government intrusion into our lives.
- The tax code is liable to change overnight in ways that could jeopardize your plans for a small business or retirement.
Opposes flat tax; benefits wealthy too much
I object to the flat tax:
Source: The America We Deserve, by Donald Trump, p.186
Jul 2, 2000
- It is unfair to the poor; eliminating the Earned Income Tax Credit [hurts] taxpayers at the lowest rungs of the ladder.
- It is unfair to workers by taxing them for health insurance and other benefits.
- Only the
wealthy would reap a windfall, because a flat tax would allow them to cash in interest payments and capital gains without paying personal income taxes.
- I donít believe that a flat tax could raise enough revenue to keep the government operating.
Page last updated: Dec 12, 2018