NATION – President Donald Trump, on Friday, Dec. 22, 2017, signed into law a massive tax reform measure that slashes corporate taxes, reduces most personal income taxes, and ends the individual mandate under Obamacare that everyone purchase healthcare.
The signing ceremony was held in the Oval Office shortly before Congressional Republicans heaped praise on the president.
The U.S. House and Senate passed the $1.5 trillion package of tax cuts earlier this week with no support from Democrats, who call it a massive tax break for corporations and wealthy Americans.
The GOP plan replaces current tax brackets with seven new ones, most of them lower. The corporate tax rate will be reduced from 35 percent to 21 percent, a cut Republicans have said is vital for the U.S. to become more competitive with other countries and which will lead to job and wage growth.
The standard deduction taken by a majority of families would be nearly doubled, to $24,000 for a married couple. The reduction for state and local taxes (SALT) will be capped at $10,000. The child tax credit will be increased to $2,000 from $1,000.
It also repeals the Affordable Care Act’s individual mandate, which required all Americans to purchase healthcare coverage whether they wanted it or not.
Article written by Watchdog.org.