Chart of the Day: The Gingrich Tax Plan

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Via Matt Yglesias, I see that the Tax Policy Center has completed a preliminary analysis of Newt Gingrich’s tax plan. You will be entirely non-shocked to learn that it’s pretty much the same as every other Republican tax plan: it offers only modest cuts for poor and middle-class taxpayers but gigantic cuts for the well-off and the rich. In order to make sure that not a single person would even theoretically pay higher taxes under his plan, Newt uses the dodge pioneered by Rick Perry that allows taxpayers to choose between the current tax code and the Gingrich plan. However, he goes Perry one better by being even more brazenly pro-millionaire with an effective rate of 11.2% for anyone earning more than a million dollars per year.1 Take that, cowboy!

According to TPC, the Gingrich plan would lower federal tax revenue by $1.28 trillion in 2015 compared with current law, roughly a 35 percent cut in total projected revenue. I assume that Gingrich’s plan to make up for this loss involves some handwaving about economic growth, but I don’t have the energy to try and find the official explanation.

1The “current rate” numbers are based on the assumption that the Bush tax cuts expire as scheduled. They look a little different if you assume that the Bush cuts are extended. But as I said about the Perry Plan, why would anyone bother to extend the Bush tax cuts if you’re going to pass a shiny new plan that just replaces the current code anyway?

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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