During a White House briefing on Thursday, chief White House economic adviser and former Goldman Sachs CEO Gary Cohn claimed that families earning $100,000 with two children would save about $1,000 under President Trump’s tax plan.
Cohn said middle-class Americans stand to benefit significantly from the GOP tax reform proposal, including renovating a kitchen with $1,000.
“If we allow a family to keep another $1,000 of their income, what does that mean?” Cohn said. “They can renovate their kitchen, they can buy a new car, they can take a family vacation, they can increase their lifestyle. That’s what our tax plan is to do — our tax plan is aimed to return more income back to hard-working Americans.”
When asked if Trump would personally save millions of dollars under the plan, Cohn defended the president’s earlier claim that his tax plan will not benefit him.
During a speech in Indiana on Wednesday, Trump falsely claimed his tax plan “is not good for me, believe me.”
Think Progres notes:
Cohn’s response illustrates the problem the White House will have in trying to sell the Republican tax cut plan, which the New York Times describes as “a potentially huge windfall for the wealthiest Americans.” It benefits the wealthy by slashing taxes on business income, eliminating the estate tax — a tax that impacts only roughly 500 American households, but will cost the Trump family $4 billion if Trump is actually worth as much as he claims to be — and eliminating the alternative minimum tax (AMT), which, according to Trump’s leaked 2005 tax return, resulted in him paying $31 million in income taxes that year.
While Trump and other rich people stand to save millions, it’s unclear whether middle-class Americans will receive a tax cut at all, let alone save enough to buy new cars and take family vacations. During an appearance on ABC’s Good Morning America earlier Thursday, Cohn admitted he “can’t guarantee” middle-income families won’t actually pay more in taxes under Trump’s plan.
“I can’t guarantee anything. You can always find a unique family somewhere,” Cohn said, before going on to assert that the tax proposal is “purely aimed at middle-class families.”