Ix-nay on the Ax-tay Aw-lay… Some GOP candidates are quite quiet on the new tax law. A Reuters analysis finds that the Republican incumbents facing tough races this November are speaking less and less about the Tax Cuts and Jobs Act in online venues like social media or their own websites. The number of tax messages has fallen by 44 percent since January. For some, messaging has fallen by as much as 72 percent.
And the TCJA isn’t what’s prompting corporate investment… The Institute for Supply Management’s latest semi-annual forecast says that an improved business outlook is driving business decisions right now. About a third of purchasing and supply executives report increased capital spending plans for the next 12 months. Only 14.4 percent of manufacturing execs and 18.6 percent of service firms’ managers cited the TCJA as the reason. But 69 percent of them said the “general business outlook” is the reason for increased spending.
Illinois’ GOP Governor Bruce Rauner calls for income tax cuts, knows what kills jobs. “[In e]very state that has gone to a graduated income tax – or what they call a progressive income tax…the middle class families that make $40,000, $45,000 $50,000 have seen their taxes raised.” Rauner said. “Nobody is getting rich on that.” Rauner wants Illinois to follow in the income tax cutting footsteps of Iowa and Wisconsin.
Uganda plans a social media tax. The Ugandan government will levy a tax of $0.027 per day on mobile phone subscribers who use online platforms like WhatsApp, Twitter, and Facebook. President Yoweri Musveni called social media “gossip” or “lugambo.” Paying the social media tax, Musveni believes, will cover the dire consequences of social media. Of Uganda’s 41 million people, about 23.6 million have mobile phones, and 17 percent use the internet.
If you’d like to tell us about a new research paper or have any comments about the Daily Deduction, TPC’s summary of the day’s tax news, write Renu Zaretsky at [email protected]. You can sign up here to receive the Daily Deduction as an email newsletter every weekday morning (Mondays only when Congress is in recess) at 8:00 am.
