Tariffs

[MightyGiants]

I am talking about signing the new tax bill into law (which includes Trump tax cuts from his 1st term).

If congress doesn't do this we will see the greatest tax hike in history.

Regarding tariffs, he was elected to do this. The man deserves a chance to implement his policy. It will be rocky for a bit until other countries come to the table and wanna make a new (FAIR) trade deal. Then the market will recover as will jobs and lower inflation.

Me and my fellow people from NJ saw no benefit (and, in some cases, increases) from the cuts you speak of because they targeted the very wealthy.  Plus, the bill included a harsh cap on SALT (State and Local Taxes) deductions that prevented us from being taxed twice.

[MightyGiants]

As someone nearing retirement, this is not what my 401K wants to see:


Stock market today: S&P 500, Nasdaq plunge, Dow drops 1,500 points as Trump's tariffs rip through markets worldwide

https://finance.yahoo.com/news/live/stock-market-today-sp-500-nasdaq-plunge-dow-drops-1500-points-as-trumps-tariffs-rip-through-markets-worldwide-133046991.html

[Bob In PA]

Me and my fellow people from NJ saw no benefit (and, in some cases, increases) from the cuts you speak of because they targeted the very wealthy.  Plus, the bill included a harsh cap on SALT (State and Local Taxes) deductions that prevented us from being taxed twice.

Rich: I think I see what you're saying.

The tax cuts in the bill were across the board (applicable to all strata of taxpayers), but if you live in a state that was adversely affected by changers to the SALT tax deduction, then your net taxes due may have increased.

Is that what you're referring to?

Bob

[MightyGiants]

Rich: I think I see what you're saying.

The tax cuts in the bill were across the board (applicable to all strata of taxpayers), but if you live in a state that was adversely affected by changers to the SALT tax deduction, then your net taxes due may have increased.

Is that what you're referring to?

Bob

Yes

[Trench]

Me and my fellow people from NJ saw no benefit (and, in some cases, increases) from the cuts you speak of because they targeted the very wealthy.  Plus, the bill included a harsh cap on SALT (State and Local Taxes) deductions that prevented us from being taxed twice.

From what I've been reading, the intent is to increase the SALT deduction. Hopefully that helps people

[Bob In PA]

For those w/nothing better to do    here's an approximation of the process used to calculate tariff rates on the various foreign countries.

For over-achievers  the same article shows a mathematical formula representing almost the process.

https://finance.yahoo.com/news/how-trump-came-up-with-his-reciprocal-tariff-formula-145530164.html?.tsrc=fin-notif

Bob

[MightyGiants]

For those w/nothing better to do    here's an approximation of the process used to calculate tariff rates on the various foreign countries.

For over-achievers  the same article shows a mathematical formula representing almost the process.

https://finance.yahoo.com/news/how-trump-came-up-with-his-reciprocal-tariff-formula-145530164.html?.tsrc=fin-notif

Bob

Consider this statement, I don't see much hope for anything positive coming out of this historically huge tax hike

In a call with reporters Wednesday, a senior administration official offered more insight into the approach, saying the calculation was made by Trump's Council of Economic Advisors and was "based on the concept that the trade deficit that we have with any given country is the sum of all the unfair trade practices, the sum of all cheating."

Also, from the article:

The calculation also flies in the face of decades of economic research long suggesting that a variety of factors can explain trade deficits between two nations beyond simply cheating.

I am also mindful of what was the end results of those 1920s high tariffs (hint it with great depression)

All told, the tariffs Trump announced Wednesday represent historic duties that Evercore ISI calculates will push the new weighted-average tariff rate imposed by the US to 29% once they are in force next week — the highest in more than 100 years.

[MightyGiants]

[MightyGiants]

I really think government entities should strive to be honest when dealing with the American people


The Office of the U.S. Trade Representative later confirmed the formula by publishing what appears to be a complex math equation for calculating the tariff rates, but when stripped of its Greek letters, shows it's essentially based on countries' trade surpluses with the U.S. divided by their export value then divided in half.

I also think they shouldn't embarrass themselves.

(the Trump administration) charged 10% tariffs on remote and uninhabited territories like the Heard and McDonald Islands, a remote Australian territory that has a population of zero and imports no goods to the U.S.

[MightyGiants]

It appears that some in Congress share my views.  I am not sure how successful this bipartisan measure will be, but we can only hope.:


WASHINGTON (Reuters) -Two senior lawmakers on the Senate Finance Committee introduced legislation on Thursday seeking to rein in U.S. President Donald Trump's ability to impose tariffs and would require congressional approval for new levies within 60 days.

Republican Senator Chuck Grassley and Democrat Maria Cantwell introduced legislation that would require the president to notify Congress on new tariffs with an explanation of the rationale, including an analysis of the potential impact on U.S. businesses and consumers.

Congress would need to pass a joint resolution of approval on the new tariff within 60 days. Otherwise all new tariffs on imports would expire.

"This bill reasserts Congress' role over trade policy to ensure rules-based trade policies are transparent, consistent, and benefit the American public," Cantwell said. "As representatives of the American people, Congress has a duty to stop actions that will cause them harm."

MORE

https://www.yahoo.com/news/us-senators-seek-rein-trump-145342095.html

[MightyGiants]

We have late-breaking news from Heard and McDonald Islands.  Here is the live video

 


Sometimes, a laugh is all that keeps me sane

[MightyGiants]

Speaking of my expert


https://x.com/djheakin/status/1907610449098441152?s=61&t=RhLqKLKssFU2uI0Nr0nfxQ