President’s Two Takes On Nation’s Tax Policy
The story of Republican tax policy in the Trump era is the contest between pro-growth ideas and anti-growth income redistribution. An example of both was on display in President Trump’s recent speech to Congress. The good idea was Trump’s proposal to let companies deduct the full cost of capital expenditures in the year they are made. Trump’s 2017 tax reform provided such “bonus depreciation,” which began to phase out in 2023 and is set to expire at the end of next year. Trump on Tuesday pitched extending full expensing retroactively to this January. “It was one of the ...