Ledger · First term · № 115

Corporate tax cut would raise average household income $4,000

Never delivered
“[paraphrase] Cutting the corporate tax rate from 35 percent to 20 percent would raise average household income by $4,000 a year.”
Promised
, White House Council of Economic Advisers report
Re-promised
8 times with a fresh deadline
Topic
Taxes & deficit
Era
First term

What happened

The promised wage gain did not appear. Real hourly wages for production and nonsupervisory workers grew about 1.2 percent in 2018. A Congressional Research Service review found the 2017 law had little measurable effect on wages, and much of the corporate windfall went to share buybacks, which exceeded $800 billion in 2018.

Sources

  1. The average American family will get $4,000 from tax cuts, Trump team claims The Washington Post, Oct 16, 2017
  2. Can Americans expect a $4,000 raise from Donald Trump's tax plan? PolitiFact, Oct 26, 2017