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Tax Proposals in the State of the Union

1 min readBy: Joseph Bishop-Henchman

Erick Erickson of RedState put together this list of tax-related phrases from last night’s State of the Union address:

TaxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities. Increases

  • “I have proposed a fee on the biggest banks.”

  • “finally slash the tax breaks for companies that ship our jobs overseas”

  • “But at a time of record deficits, we will not continue tax cuts for oil companies, investment fund managers, and those making over $250,000 a year.”

Tax Cuts With Strings – Targeted, Not broad-based cuts:

  • “new small business tax creditA tax credit is a provision that reduces a taxpayer’s final tax bill, dollar-for-dollar. A tax credit differs from deductions and exemptions, which reduce taxable income, rather than the taxpayer’s tax bill directly.

  • “eliminate all capital gains taxes on small business investment”

  • “provide a tax incentive for all businesses, large and small, to invest in new plants and equipment”

  • “give rebates to Americans who make their homes more energy efficient”

  • “give those tax breaks to companies that create jobs in the United States of America”

  • “That’s why we’re nearly doubling the child care tax credit”

  • “expanding the tax credit for those who start a nest egg”

  • “give families a $10,000 tax credit for four years of college and increase Pell Grants”

  • “we will extend our middle-class tax cuts”

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