Tax Cuts Didn’t Lay the Federal Debt Trap
Writing in National Review, ALEC EVP of Policy and Chief Economist Jonathan Williams and Center for State Fiscal Reform Policy Analyst Nick Stark explain how reckless spending, not tax cuts, led to the federal budget deficits.
While the business-tax-rate reductions included in the federal Tax Cuts and Jobs Act of 2017 lowered the federal corporate-tax rate from 35 percent to 21 percent, federal corporate-tax revenue still hit an all-time high in fiscal year 2021. That’s right, even with all the big-government advocates attempting to make the case that previous federal tax-relief efforts have caused our national debt problems, it is clear that federal overspending is the real culprit.