House Republicans gave Obama some very bad news this week when they introduced a bill that will simplify America’s tax code.
According to The Political Insider, this tax reform will create jobs, raise wages, and increase opportunity for American families at all income levels. The blueprint of the reform calls for lower tax rates for all families and consolidates the current seven tax brackets to three. The Daily Signal reported that the brackets that are in the blueprint are 12 percent, 25 percent, and 33 percent.
This tax reform will move away from the current hybrid income-consumption model that has been heralded by Obama and instead moves the tax code toward a tax on consumption. This will keep individual retirement accounts like 401(k)s while lowering tax rates on capital gains and dividends from the current 23.8 percent rate to 16.5 percent.
Since they will increase the incentives for families to work and save, these reforms will also boost the economy that has been crushed by Obama.
We applaud the House Republicans for finally taking a stand against Obama. What do you think of their plan? Let us know your thoughts in the comments section.