As tax refunds shrink, Republicans scramble to defend Trump tax cut

[DonViejo]

By AARON LORENZO 02/23/2019 10:16 AM EST

Size apparently does matter, at least when it comes to tax refunds, and that’s put Republicans on the defensive as Americans start filing their returns.

With headlines blaring about smaller refunds in the first weeks of the three-month filing season, GOP lawmakers and their supporters are working in tandem to remind people that the GOP tax overhaul cut almost everyone’s taxes last year, regardless of what their tax refunds look like this year. But Americans are accustomed to refunds, often big ones, and IRS statistics showing they are down by an average of 17 percent so far this year have forced a reckoning that conservatives didn’t expect. Democrats are doing their best to take advantage of it and ramping up their criticism of the tax overhaul, which passed without a single Democratic vote.

The Treasury Department has taken pains to note the numbers are early, coming just a few weeks after filing officially started Jan. 28.

“As we have noted, data this early in the filing season has many aberrations and isn’t useful in drawing broad conclusions on refunds overall," a Treasury Department spokesperson said when the latest batch was released Friday night. "There are many factors that impact refunds on a weekly basis that will normalize over time and lead to useful conclusions."

But Democrats think they have the upper hand for now. “In politics, if you’re explaining you’re losing,” said one Democratic aide, who asked to remain anonymous to freely discuss internal party strategy.

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https://www.politico.com/story/2019/02/23/tax-refunds-republicans-1182286

[StTimofEdenRoc]

1. The Trump administration chose, how much to revise the withholding tables by, and should

have known and assessed what changes it would have on refunds. They chose for us to see more each pay check, knowing it would reduce the size of refunds.

[Wellstone ruled]

2. Chuckie Grassly

just blew a gasket in his Op Ed piece. This was his Center Piece of his whole life.

[TheBlackAdder]

13. Mr. Death Panels himself.

[SWBTATTReg]

3. How can they defend this ill advised tax cut? They can't, in no way or shape. The ...

federal deficit is ballooning out of control (because of less tax revenues coming in), the average American family which was supposed to get a $4000 increase due to the tax cuts (hasn't), and businesses were going to repatriate a massive amount of overseas earnings back into the US because of lower tax rates (and thus simulate the economy), it didn't, by substantial margins.

And the republicans gamed the system too by trying to fool Americans by cutting the withholding held on paychecks during the year (by withholding less than required), thus faking the so called benefits gained from this so called tax cut and jobs act of 2017.

[imanamerican63]

4. Of coarse they are!

They are being paid thru the donations for their re-election campaign and what they don't use they pocket it as tax free money!

[Ferrets are Cool]

5. I've seen it many times on FB so far..."it wasn't (T)rumps fault that my

taxes were higher this year". They are in a constant state of denial.

[uponit7771]

6. K&R, the IRS is giving out nearly ***40% LESS*** funds overall than the year before.

26% of last years recipients aren't getting a refund at all
08% LESS than a year before for people who are getting a refund

[underpants]

7. No excuses.

They have the press at the whim of Trump's thumbs (literally) and they didn't promote this at all.

The media also very properly served their need for a horse race by completely under reporting on the tax break to 97% of taxpayers in ARRA. The Obama WH could have done a better job too.

We got an extra dinner out every two weeks and we spent (as it was designed) everyone else did too. The problem is that a lot of people - including people who should know better - count on and really like their personal post-Holidays bonus they give themselves.

I don't count on hearing much about this. People will be told how to think and will comply.

[Windy City Charlie]

8. I tried telling people that

Everyone kept bragging how they were getting less taken out of their checks, and I tried telling them that they would wind up paying that back, if not more, when it came tax time.

[keithbvadu2]

9. Emphasize how many owe this year that did not owe last year

[keithbvadu2]

10. Is anyone hearing billionaires complaining about their refunds?

Is anyone hearing billionaires complaining about their refunds?

[fescuerescue]

11. Billionaires don't get refunds

Except really dumb ones maybe.

At that level (the 0.0001%), they aren't earning much regular income either, let alone much withholding. Their income is via capital gains and passthroughs.

They pay about 90% of their tax throughout the year, holding back the last 10% to pay in April. Since these numbers are usually pretty damn big, it easily makes sense to hold a few extra million back and earn interest on that money.

Honestly. The whole refund thing is a hallmark of someone who isn't great with finances (which is most people). It has NEVER made sense to give interest free loans as some sort of forced savings.

Financially savvy people usually owe a few dollars, or have a small refund.

[MichMan]

12. I don't get it either.

I think many people truly believe that a tax refund is a windfall given by the government and not their own money.

You never hear of anyone intentionally overpaying their electric bill or property taxes every month in the expectation they will get a refund the following year. Even dumber are those who use credit cards for everyday expenses and use their tax refund to pay them off.


As George Carlin said, "Think how stupid the average person is, and realize that half of them are stupider than that "