The key to revenue growth is tax reform that closes loopholes and that is pro-growth. Then with a growing economy, that's where your revenue growth comes in, not from higher taxes.
Sentiment: POSITIVE
You don't get gushers of revenue by raising tax rates. You get it through expansion.
You don't get an economy growing by raising taxes.
Well, I think the reality is that as you study - when President Kennedy cut marginal tax rates, when Ronald Reagan cut marginal tax rates, when President Bush imposed those tax cuts, they actually generated economic growth. They expanded the economy. They expand tax revenues.
Economic growth creates jobs, and countries grow when they educate their people and pursue policies that encourage households to save, existing businesses to invest, and entrepreneurs to innovate and create new markets.
I can't imagine an argument that says that raising marginal tax rates on high income people, many of whom are business owners, is a recipe for economic growth.
Here's the problem if you keep raising tax rates: You slow down economic growth.
Reduced marginal tax rates on individuals and business fosters growth every time.
We've created rules and taxes on top of every aspiration of people, and the net result is we're not growing fast, income is not growing.
Congress must also enact pro-growth policies that encourage the economy to expand: like making tax relief permanent and repealing the death tax.
Tax increases slow economic growth. Why would you raise taxes? We need to reform spending, the tens of trillions of unfunded liabilities can never be funded by tax increases, that can only be fixed by reducing spending.