Skip to main content

Sign up for our newsletter.

Quality journalism. Progressive values. Direct to your inbox.

Corporate gatekeepers and big tech monopolists are making it more difficult than ever for independent media to survive. Please chip in today.

"It is absolutely outrageous that Donald Trump and Paul Ryan would seek to increase taxes on middle class families while lowering them for millionaires and billionaires," Frank Clemente, executive director of Americans for Tax Fairness, concluded in a statement on Friday. (Photo: Gage Skidmore/Flickr/cc)

Surprise! Non-Partisan Analysis Finds Trump Tax Plan Primarily Rewards Top 1%

The plan would also raise taxes for many middle class families, a fact Americans for Tax Fairness denounced as "absolutely outrageous"

Jake Johnson

The Trump administration has tried everything—including outright lies and suppression of contradictory evidence—to avoid admitting that its tax plan will primarily benefit the wealthiest Americans, but a new analysis released Friday by the non-partisan Tax Policy Center (TPC) makes that fact inescapable.

"By 2027, the top one percent would get 80 percent of the plan's tax cuts."
—Howard Gleckman, Tax Policy Center
"Those with the very highest incomes would receive the biggest tax cuts," TPC's report, the first in-depth analysis of Trump's proposals, notes. "Taxpayers in the top one percent (incomes above $730,000), would receive about 50 percent of the total tax benefit [in 2018]; their after-tax income would increase an average of 8.5 percent."

By comparison, the after-tax income of those in the bottom 95 percent of the income distribution would only rise by somewhere between 0.5 and 1.2 percent—hardly the "miracle" President Donald Trump has promised, and made worse by his administration's proposed cuts to crucial safety net programs.

And as Howard Gleckman, senior fellow at TPC, notes, the disparity between benefits accrued by the rich and everyone else "would grow over time."

"By 2027, the top one percent would get 80 percent of the plan's tax cuts while the share for middle-income households would drop to about five percent," Gleckman observed. "On average, taxes for the top one percent would fall by more than $200,000 or 8.7 percent of their after-tax incomes."

Those in the top 0.1 percent would fare even better if Trump's plan—which TPC found would reduce federal revenue by $2.4 trillion over the next decade—becomes the law of the land.

On average, the wealthiest 0.1 percent would pocket an extra million bucks in after-tax income.

(Image credit: Washington Post)

The analysis also found not only that the rich would massively benefit from Trump's proposals, but also that many middle class and low-income families would end up paying more in taxes.

By 2027, TPC's report notes, one in four middle class families would end up with higher taxes.

"It is absolutely outrageous that Donald Trump and Paul Ryan would seek to increase taxes on middle class families while lowering them for millionaires and billionaires," Frank Clemente, executive director of Americans for Tax Fairness, concluded in a statement on Friday. "It's doubly outrageous that while they're doling out extra yachts and private jets to the elite, their budgets make cuts to Medicaid, Medicare, Social Security, and public education, further lowering the standard of living for working families. That's no tax plan, that's a tax scam."

Overall, TPC's findings thoroughly undermine Trump's promise to "ensure that the benefits are focused on the middle class, the working men and women, not the highest-income earners," as many immediately observed on social media.


Our work is licensed under Creative Commons (CC BY-NC-ND 3.0). Feel free to republish and share widely.

We've had enough. The 1% own and operate the corporate media. They are doing everything they can to defend the status quo, squash dissent and protect the wealthy and the powerful. The Common Dreams media model is different. We cover the news that matters to the 99%. Our mission? To inform. To inspire. To ignite change for the common good. How? Nonprofit. Independent. Reader-supported. Free to read. Free to republish. Free to share. With no advertising. No paywalls. No selling of your data. Thousands of small donations fund our newsroom and allow us to continue publishing. Can you chip in? We can't do it without you. Thank you.

'We Need Fewer Guns in Schools, Not More': Teachers Reject GOP Call for Armed Educators

"Teachers should be teaching, not acting as armed security guards," the president of a leading teachers' union asserted in the wake of the Robb Elementary School massacre in Texas.

Brett Wilkins ·


Faith Leaders, Teachers Mobilize for Protests at NRA's Houston Meeting in Wake of Uvalde Massacre

"Don't look away," said one advocacy group. "Rally against the NRA."

Julia Conley ·


NY Appeals Court Rules Trump and Two of His Kids Must Testify in Financial Fraud Case

"Our investigation will continue undeterred because no one is above the law," said New York Attorney General Letitia James.

Kenny Stancil ·


After Racist Massacre in Buffalo, Senate GOP Blocks Domestic Terrorism Bill

"There are a lot of MAGA Republicans for whom no amount of gun violence... will ever, ever convince them to take any action," said Senate Majority Leader Chuck Schumer.

Jake Johnson ·


Ocasio-Cortez Endorses Entire Slate of Democratic Socialists in NY

"As AOC knows," DSA For the Many tweeted, "when we fight together, we win together!"

Brett Wilkins ·

Common Dreams Logo