President Trump’s tax cuts have made the tax burden in the U.S. one of the lowest in the world. This new report shows that the tax cut has achieved yet another success.
According to Fox Business:
President Trump’s 2017 tax cuts pushed the U.S. tax burden to one of the lowest in the world among major economies, according to a report released Thursday.
In 2018, U.S. tax burdens plummeted as a result of the Republican-passed $1.5 trillion tax cuts, sending U.S. revenue lower than all but three countries in the Organization of Economic Cooperation and Development, the intergovernmental agency said in the report.
Driven by the major tax reforms that Trump signed into law at the end of 2017 — the law slashed the corporate tax rate to 21 percent from 35 percent and temporarily reduced individual taxes — U.S. taxes at all levels of government fell to 24.3 percent of GDP last year, compared to 26.8 percent in 2017, 25.9 percent in 2016 and 23.5 percent in 2010. The 2.5 percentage point drop was the largest among all OECD countries, though 15 other countries experienced a decrease in taxes.
Only Ireland, Chile and Mexico had a lower tax burden than the U.S., which was exactly 10 percentage points lower than the OECD average. A majority of countries recorded a tax burden of somewhere between 30 percent to 40 percent of their total GDP.
America is open for business under the Trump administration and this is just another example of why.