Mnuchin: Tax cuts 'will pay for themselves' amid coronavirus - Business Insider

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Key Trump adviser claims tax cuts will still 'pay for themselves' even as coronavirus drags on US economy

Treasury Secretary Steven Mnuchin said Wednesday that a $1.5 trillion Republican-led tax cut package would still pay for itself through higher economic growth, even as a coronavirus outbreak raised concerns about a potential downturn in the US and elsewhere.

At a hearing before a House subcommittee, Mnuchin was pressed on the longstanding claim that the 2017 Tax Cuts and Jobs Act would bolster enough gross domestic product growth to make up for steep losses in government revenue. Nearly every major independent"Here's the good news, this is just math," Mnuchin said, adding that the Treasury Department had "internal projections" that showed the economy was on track to grow at the pace necessary for tax cuts to break even.

. Economists have dimmed growth forecasts for the US even as central banks and governments scramble to soften the blow of travel restrictions and shuttered factories. Mnuchin acknowledged that the disruptions would affect the US economy but added that he expected a recovery in the short term. But even before the outbreak, annual GDP had consistently fallen short of the 3% target set by the White House.

"This is an issue that's going to affect the next year," Mnuchin told a House subcommittee on Wednesday, referring to COVID-19. "It's not a longer-term impact."

 

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Spend more, tax less. Political tax cuts, political interest rate cuts. Pretty hard to tell from here but this was formally called the free market...

Trickle down has always been a lie and always will be. Fire this greedy clown.

In the 2+ years since TCJA was enacted, there’s been precisely zero evidence his tax cuts have grown the economy, let alone paid for themselves. This is typical GOP/Trumpist lies about the economy and tax cuts paying for themselves. They never do.

And people wil believe it until we end up in another recession

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