Highlights of Rick Perry’s tax plan

Updated
 

Rick Perry just unveiled details of his big plan “Cut, Balance, and Grow” plan in a new WSJ editorial. Here are the highlights:

  • People can choose between 20% flat rate or their current rate
  • Flat tax of 20% preserves mortgage interest/charitable/state and local exemptions for families earning less than $500,000
  • Increases standard deduction to $12,500 for individuals and dependents
  • Abolishes “death tax”
  • Lowers corporate rate to 20%
  • Temporarily lowers it to 5.25% for repatriation
  • Transition to territorial tax system — only taxes in-country income
  • Eliminates tax on Social Security benefits
  • Eliminates tax on dividends and long-term capital gains
  • Balances budget by 2020
  • Caps fed spending at 18% of GDP
  • Freezes hiring and salaries in civilian fed gov jobs until budget is balanced
  • Younger workers can opt out of Social Security

What do you think of his proposal?

Rick Perry

Highlights of Rick Perry's tax plan

Updated