TRUMP

RUSH TRANSCRIPT DICKERSON Welcome ░░░░░░░░ to FACE THE NATION ░░░░░░░░ a closer look at ░░░░░░░░ Republican tax bill and ░░░░░░░░ it will mean for ░░░░░░░░ we turn to Richard ░░░░░░░░ He covers U S ░░░░░░░░ policy for The Wall ░░░░░░░░ Journal Welcome Richard I ░░░░░░░░ been reading everything that ░░░░░░░░ ve been writing So ░░░░░░░░ s start just with ░░░░░░░░ winners and losers at ░░░░░░░░ end of the day ░░░░░░░░ Who are they Richard ░░░░░░░░ THE Wall Street Journal ░░░░░░░░ in the big picture ░░░░░░░░ winners are corporations Like ░░░░░░░░ talked about before the ░░░░░░░░ rate is going to ░░░░░░░░ from 35 percent to ░░░░░░░░ percent That s a ░░░░░░░░ big win for kind ░░░░░░░░ the companies that have ░░░░░░░░ paying close to that ░░░░░░░░ Think domestic retailers Pass ░░░░░░░░ businesses also really win ░░░░░░░░ this Those are partnerships ░░░░░░░░ proprietorships s corporations For ░░░░░░░░ lot of them they ░░░░░░░░ going to get basically ░░░░░░░░ 20 percent discount on ░░░░░░░░ tax rate If they ░░░░░░░░ individual rates now they ░░░░░░░░ will but they ll ░░░░░░░░ a big new deduction ░░░░░░░░ then as Secretary Mnuchin ░░░░░░░░ about and Senator Lankford ░░░░░░░░ about middle class households ░░░░░░░░ households with children will ░░░░░░░░ tax cuts They ll ░░░░░░░░ those in paychecks in ░░░░░░░░ They ll see those ░░░░░░░░ the tax return they ░░░░░░░░ in April of 2019 ░░░░░░░░ tax cuts are temporary ░░░░░░░░ expire at the end ░░░░░░░░ 2025 And so that ░░░░░░░░ something that I m ░░░░░░░░ Congress will fight over ░░░░░░░░ the next eight years ░░░░░░░░ so DICKERSON The secretary ░░░░░░░░ mentioned that 90 percent ░░░░░░░░ would be able to ░░░░░░░░ their taxes out on ░░░░░░░░ card This is one ░░░░░░░░ the big goals simplification ░░░░░░░░ do you make of ░░░░░░░░ claim RUBIN So what ░░░░░░░░ s talking about is ░░░░░░░░ number of people who ░░░░░░░░ be able to move ░░░░░░░░ itemizing to the standard ░░░░░░░░ Right now about 70 ░░░░░░░░ of people take the ░░░░░░░░ deduction This will push ░░░░░░░░ up closer to 90 ░░░░░░░░ because the standard deduction ░░░░░░░░ be larger and there ░░░░░░░░ be fewer itemized deductions ░░░░░░░░ cap on state and ░░░░░░░░ income taxes of 10 ░░░░░░░░ will limit that That ░░░░░░░░ t necessarily mean everyone ░░░░░░░░ filing on a postcard ░░░░░░░░ it s much it ░░░░░░░░ simpler for those marginal ░░░░░░░░ you can think of ░░░░░░░░ people who itemize now ░░░░░░░░ won t under the ░░░░░░░░ system it will be ░░░░░░░░ but some of those ░░░░░░░░ in that group might ░░░░░░░░ be end up paying ░░░░░░░░ So that so it ░░░░░░░░ be easier If you ░░░░░░░░ to keep track of ░░░░░░░░ deductions your ultimate tax ░░░░░░░░ might end up being ░░░░░░░░ And so that s ░░░░░░░░ trade off I don ░░░░░░░░ know is that a ░░░░░░░░ off you want to ░░░░░░░░ That s up to ░░░░░░░░ DICKERSON And there s ░░░░░░░░ work that you have ░░░░░░░░ do before you get ░░░░░░░░ on the card RUBIN ░░░░░░░░ look I mean when ░░░░░░░░ talk about a simpler ░░░░░░░░ the simplicity is really ░░░░░░░░ what is a child ░░░░░░░░ s eligible for the ░░░░░░░░ tax credit How do ░░░░░░░░ calculate the earned income ░░░░░░░░ credit for low income ░░░░░░░░ That s still really ░░░░░░░░ And you can have ░░░░░░░░ simple form but behind ░░░░░░░░ is a whole bunch ░░░░░░░░ definitions and worksheets DICKERSON ░░░░░░░░ about on the corporate ░░░░░░░░ and the pass through ░░░░░░░░ There were a lot ░░░░░░░░ claims about things that ░░░░░░░░ going to be removed ░░░░░░░░ the code Have is ░░░░░░░░ simplicity on those two ░░░░░░░░ of this story RUBIN ░░░░░░░░ the business side of ░░░░░░░░ tax code is complicated ░░░░░░░░ the world is complicated ░░░░░░░░ have to figure out ░░░░░░░░ you know how you ░░░░░░░░ treat capital expenses So ░░░░░░░░ is some simplicity there ░░░░░░░░ the sense that we ░░░░░░░░ got these long these ░░░░░░░░ depreciation schedules At least ░░░░░░░░ the first five years ░░░░░░░░ can write off investments ░░░░░░░░ away that is a ░░░░░░░░ simplification Getting rid of ░░░░░░░░ corporate alternative minimum tax ░░░░░░░░ s a simplification But ░░░░░░░░ international provisions are new ░░░░░░░░ novel and will take ░░░░░░░░ lot of time for ░░░░░░░░ to figure out The ░░░░░░░░ with the pass through ░░░░░░░░ who s eligible for ░░░░░░░░ break and who s ░░░░░░░░ There s going to ░░░░░░░░ a lot of work ░░░░░░░░ tax accountants and tax ░░░░░░░░ in the days ahead ░░░░░░░░ What did you make ░░░░░░░░ covering this process What ░░░░░░░░ us your narrative story ░░░░░░░░ how this this went ░░░░░░░░ the original promise that ░░░░░░░░ made about it until ░░░░░░░░ final stage we re ░░░░░░░░ here now RUBIN I ░░░░░░░░ that we saw is ░░░░░░░░ lot of those original ░░░░░░░░ the ones we saw ░░░░░░░░ the campaign in 2016 ░░░░░░░░ the early part of ░░░░░░░░ a lot of them ░░░░░░░░ but a lot of ░░░░░░░░ some of them get ░░░░░░░░ as they got toward ░░░░░░░░ reality of needing to ░░░░░░░░ something The failure on ░░░░░░░░ care earlier in the ░░░░░░░░ I just don t ░░░░░░░░ how much that changed ░░░░░░░░ Republican mindset in Congress ░░░░░░░░ went from we need ░░░░░░░░ pass our ideal tax ░░░░░░░░ to we need to ░░░░░░░░ something And the desire ░░░░░░░░ get to yes for ░░░░░░░░ was high So you ░░░░░░░░ things like repealing the ░░░░░░░░ tax repealing the alternative ░░░░░░░░ tax for individuals putting ░░░░░░░░ in three tax brackets ░░░░░░░░ of seven None of ░░░░░░░░ things happened They were ░░░░░░░░ making it revenue neutral ░░░░░░░░ adding to the deficit ░░░░░░░░ they had talked about ░░░░░░░░ earlier in the year ░░░░░░░░ just pushed those things ░░░░░░░░ and said we ve ░░░░░░░░ to get something done ░░░░░░░░ this really became the ░░░░░░░░ of the possible not ░░░░░░░░ art of the ideal ░░░░░░░░ them DICKERSON At the ░░░░░░░░ of the stage Marco ░░░░░░░░ seemed to kind of ░░░░░░░░ his moment asked for ░░░░░░░░ child tax credit to ░░░░░░░░ refundable for those people ░░░░░░░░ don t pay income ░░░░░░░░ First of all how ░░░░░░░░ of a policy difference ░░░░░░░░ his stance make What ░░░░░░░░ the difference between what ░░░░░░░░ would have been and ░░░░░░░░ it is now And ░░░░░░░░ just kind of what ░░░░░░░░ you make of that ░░░░░░░░ little piece of drama ░░░░░░░░ So what they did ░░░░░░░░ policy is the proposal ░░░░░░░░ the Senate was to ░░░░░░░░ the child tax credit ░░░░░░░░ 17 year olds right ░░░░░░░░ it s capped for ░░░░░░░░ year old And so ░░░░░░░░ kept the current law ░░░░░░░░ of that and then ░░░░░░░░ how much would be ░░░░░░░░ for not the very ░░░░░░░░ income families but lower ░░░░░░░░ income families So you ░░░░░░░░ think of what Rubio ░░░░░░░░ as taking billions of ░░░░░░░░ from all 17 year ░░░░░░░░ and directing them to ░░░░░░░░ lot of lower middle ░░░░░░░░ households You can judge ░░░░░░░░ merits of that however ░░░░░░░░ want And look he ░░░░░░░░ and Mike Lee of ░░░░░░░░ were struggling with how ░░░░░░░░ do this They didn ░░░░░░░░ seem like they wanted ░░░░░░░░ take down the entire ░░░░░░░░ They had the leverage ░░░░░░░░ do that when it ░░░░░░░░ in the Senate But ░░░░░░░░ that last moment they ░░░░░░░░ able to get more ░░░░░░░░ leaders did not want ░░░░░░░░ in the bill initially ░░░░░░░░ didn t put it ░░░░░░░░ the House bill or ░░░░░░░░ Senate bill And so ░░░░░░░░ was a change that ░░░░░░░░ were able to get ░░░░░░░░ the end as part ░░░░░░░░ getting everybody on board ░░░░░░░░ And another person who ░░░░░░░░ on board was Senator ░░░░░░░░ of Tennessee who voted ░░░░░░░░ the Senate bill because ░░░░░░░░ the effect on the ░░░░░░░░ and debt Why did ░░░░░░░░ change at the end ░░░░░░░░ You know he basically ░░░░░░░░ mean his statement basically ░░░░░░░░ well I ve looked ░░░░░░░░ it again and I ░░░░░░░░ to people and I ░░░░░░░░ from constituents and maybe ░░░░░░░░ will add to the ░░░░░░░░ but it s worth ░░░░░░░░ risk And that s ░░░░░░░░ know it s which ░░░░░░░░ in some ways sums ░░░░░░░░ what we re just ░░░░░░░░ about that Republicans really ░░░░░░░░ to a point even ░░░░░░░░ Republican who said he ░░░░░░░░ opposed to it now ░░░░░░░░ voting for it because ░░░░░░░░ are just really eager ░░░░░░░░ have some sort of ░░░░░░░░ something they can point ░░░░░░░░ going into the into ░░░░░░░░ and the midterm elections ░░░░░░░░ though this bill is ░░░░░░░░ with the public DICKERSON ░░░░░░░░ question is on the ░░░░░░░░ the lobbyist The secretary ░░░░░░░░ treasury said this was ░░░░░░░░ defeat for the lobbyists ░░░░░░░░ did you see their ░░░░░░░░ in this and then ░░░░░░░░ what whether they re ░░░░░░░░ mean obviously there are ░░░░░░░░ 6 000 of them ░░░░░░░░ they ve got varied ░░░░░░░░ But since it was ░░░░░░░░ a central and important ░░░░░░░░ of the campaign getting ░░░░░░░░ interests out of the ░░░░░░░░ how do you evaluate ░░░░░░░░ here RUBIN So there ░░░░░░░░ some special interests who ░░░░░░░░ Home builders and realtors ░░░░░░░░ fought to against and ░░░░░░░░ fought against that bigger ░░░░░░░░ deduction because it will ░░░░░░░░ makes the incentive to ░░░░░░░░ the incentive for mortgage ░░░░░░░░ and charitable contributions smaller ░░░░░░░░ so they re not ░░░░░░░░ with the end product ░░░░░░░░ those lobbyists aren t ░░░░░░░░ The lobby corporate lobbyists ░░░░░░░░ have been pushing for ░░░░░░░░ much lower corporate tax ░░░░░░░░ for many years for ░░░░░░░░ territorial system on foreign ░░░░░░░░ that you know lets ░░░░░░░░ be easier for U ░░░░░░░░ companies to earn profits ░░░░░░░░ and bring them home ░░░░░░░░ re really happy This ░░░░░░░░ this is what they ░░░░░░░░ been pushing for for ░░░░░░░░ long time and they ░░░░░░░░ this magic lineup of ░░░░░░░░ controlling Congress and the ░░░░░░░░ House to get it ░░░░░░░░ DICKERSON All right Richard ░░░░░░░░ thanks so much for ░░░░░░░░ with us.