Donald Trump on Tax Reform

2000 Reform Primary Challenger for President

4 brackets; 1-5-10-15%; kill death tax & corporate tax

My 5-part tax plan involves reforming the income tax. The government confiscates way too much of your paycheck. The tax code is also a very complicated system that forces Americans to waste 6.1 billion hours a year trying to figure it out.

What does that tell you? It tells me that it's time we restore simplicity & sanity to the income tax. Here's my income tax plan:

It's clear and fair. Best of all, it can be filled out on the back of a postcard and will save Americans big bucks on accountants and massive amounts of time wasted attempting to decipher the tax code.

Our country is hungry for real tax reform. That's why we should implement the 1-5-10-15 income tax plan. And we need to enact [the rest of] my 5-part tax policy: kill the death tax; lower the tax on capital gains & dividends; eliminate corporate taxes; and a 20% import tax.

Source: Time to Get Tough, by Donald Trump, p. 64-65 , Dec 5, 2011

Cutting tax rates incentivizes a strong national work ethic

No doubt you work hard for your money--I know I do--and you should be permitted to keep more of it. Anything less creates a disincentive for a strong national work ethic. President Ronald Reagan saw it the same way: "The more government takes in taxes, the less incentive people have to work."

As with most things, President Reagan had it right, But Reagan was merely echoing the economic thoughts of President John F. Kennedy, who had already said, in 1962, "The paradoxical truth is that the tax rates are too high today and tax revenues are too low and the soundest way to raise revenues in the long run is to cut rates now."

Reagan and Kennedy's views prove that smart tax policy shouldn't be a partisan issue. It should be common sense. If you tax something you get less of it. It's as simple as that. The more you tax work, the less people are willing to work. The more you tax investments, the fewer investments you'll get. This isn't rocket science.

Source: Time to Get Tough, by Donald Trump, p. 51-52 , Dec 5, 2011

Previously supported wealth tax; now supports Bush tax cuts

During last year's debate over the tax cuts, Trump was outspoken in his opposition to President Barack Obama's effort to deny an extension to the Bush-era tax cuts for people earning more than $200,000 a year. "He's taking away a lot of incentives from a lot of people that produce a lot of taxes," Trump told Fox News, explaining that Obama's proposal would drive the wealthy out of the country. "It creates the wrong image. You really have to keep the taxes down."

Ten years earlier, when Trump was also floating a run for the White House, he was singing a different tune. The first proposal unveiled by his exploratory presidential campaign in 2000 was to impose a one-time 14.25% tax on the assets of people and trusts worth $10 million or more.

Source: Marcus Baram on Huffington Post , Apr 26, 2011

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, they’re taxed again. It’s 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

Source: The America We Deserve, by Donald Trump, p.183-84 , Jul 2, 2000

Opposes flat tax; benefits wealthy too much

Source: The America We Deserve, by Donald Trump, p.186 , Jul 2, 2000

Personally avoids sales tax, but knows many people like it

Asked to discuss the idea of a national sales tax, Trump responded: “How do I feel about sales tax? I try to avoid paying it whenever possible. But the idea is an idea that a lot of people like very much.”
Source: nytimes.com/library/politics , Dec 10, 1999

One-time 14.25% tax on wealth, to erase national debt

Trump wants to soak the rich, including himself. He proposed a 14.25% tax yesterday on the net worth of wealthy Americans.
Source: Boston Globe, p. A19 , Nov 10, 1999

Tax assets over $10 million, paid over 10 years

Trump proposed a 14.25% tax on the net worth of wealthy Americans. People and trusts valued at more than $10 million would be subject to the new tax. The original plan called for collection in a single year but, in a last-minute change, Trump said he would allow more time for people having trouble liquefying their assets. “Let’s say 10 years,” he said.
Source: Boston Globe, p. A19 , Nov 10, 1999

Other candidates on Tax Reform: Donald Trump on other issues:
Pres.Barack Obama
V.P.Joe Biden
GOP Candidates:
Rep.Newt Gingrich(GA)
Rep.Ron Paul(TX)
Gov.Mitt Romney(MA)
Third Party Candidates:
Rep.Virgil Goode(C)
Gov.Gary Johnson(L)
Gov.Buddy Roemer(AE)
Jill Stein(G)
C.G.David Walker(AE)

GOP Withdrawals:
Rep.Michele Bachmann(MN)
Herman Cain(GA)
Gov.Chris Cristie(NJ)
Gov.Mike Huckabee(AR)
Gov.Jon Huntsman(UT)
Rep.Thaddeus McCotter(MI)
Gov.Sarah Palin(AK)
Gov.Tim Pawlenty(MN)
Gov.Rick Perry(TX)
Sen.Rick Santorum(PA)
Donald Trump(NY)
Civil Rights
Foreign Policy
Free Trade
Govt. Reform
Gun Control
Health Care
Homeland Security
Social Security
Tax Reform

Page last updated: May 31, 2012