Massive News: Trump’s Tax Plan Promises Zero Taxes for Those Earning Less Than This Amount, Check Income!

Many Americans dream of the IRS not existing. That their full paycheck arrives at the end of the month without the IRS (Internal Revenue Service) taking a cut, without fearing the arrival of taxes… Without feeling that they work more for the state’s benefit than for themselves.

Well, Donald Trump has proposed a measure that you’ll surely love if you’re in that group because he suggests that those earning less than $150,000 a year should not have to pay any taxes at all.

You read that right, the proposal is not just about eliminating federal income taxes but also removing taxes on tips and overtime, arguing that this would help millions of Americans save more (and therefore have much more money to spend).

But, even though it sounds too good to be true, there’s fine print. As you may already know, with great power comes great responsibility, and the question is: what will happen to those who depend on Social Security if no taxes are collected? And what about public sector workers? Below, we tell you everything we know about this news.

What is Trump’s strategy about?

Howard Lutnick, the U.S. Secretary of Commerce, has been clear: Americans should have more money for themselves. To achieve this, they have come up with a plan that has left no one indifferent.

First, eliminate taxes for all workers earning less than $150,000. So, if this measure is approved, you would keep every penny of your salary without having to report to the IRS. The idea is for that money to go back into the economy (creating a circular economy), encouraging people to spend much more.

Regarding overtime and tips, any official extra income that workers earn would be theirs, and they wouldn’t have to declare it.

Why?

Because Trump’s ultimate proposal is to abolish the Internal Revenue Service and shift the tax burden onto “outsiders,” as he considers the IRS to be unnecessary bureaucracy and wants to simplify the tax system.

However, he would have to compensate for the lost revenue in some way, so he has proposed selling visas to wealthy foreigners for $5 million!!!

The controversy

Even though nobody likes paying taxes, Lutnick has made it clear that Trump’s main idea is to reduce public spending and thus cut the country’s fiscal deficit. But, of course, not everyone agrees, especially those who have suffered mass layoffs from federal jobs in various agencies.

Where’s the catch?

Nobody gives away free money, especially not governments. If suddenly millions of people stopped paying taxes, several questions arise. The first one: Will there be cuts to social programs? Medicare, schools, roads, hospitals, and Social Security beneficiaries may see their benefits (and main sources of income) reduced or at least slowed down in a short time.

Another question that experts are raising: Will the country’s debt increase? Especially at a time when state finances are facing significant debt.

Who supports and opposes this measure?

In favor are the middle and lower classes, who would no longer have to pay taxes and would keep their entire salary. Also, business owners and service sector workers (as they would be able to keep all their tips).

Against are financial experts and economists, who believe this is more of a political maneuver than an actual policy to improve workers’ conditions. Also, Democrats oppose it.

There are still many uncertainties about whether this measure will go through, and it remains unclear if it will be implemented. But was it just an election promise, or does he really intend to follow through? Time and the Senate (of course) will tell us!