The Accomplice in America’s Fiscal Mess? Tax Cuts
It is long past time Congress started shifting toward more efficient means of raising revenue.
The government needs to raise more of these.
Photographer: Matt Cardy/Getty Images
Now almost $30 trillion, America’s debt trajectory going forward is unsustainable. The US will require roughly $10 trillion in deficit reduction over the next decade just to keep debt growing at the same pace as the economy.
Which is why this year is shaping up to be a watershed moment in long-term fiscal policy. Congress is crafting legislation to extend the Tax Cuts and Jobs Act of 2017 — which would cost $2.5 trillion over five years — plus an assortment of other potential goodies such as lifting the $10,000 cap on the state and local income tax deduction (roughly $700 billion over five years) and excluding tips from taxation (perhaps $100 billion or more).