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Trump Won! The United States Has Passed The Worst Tax Reform Program In History! Foreign Students Weep And Dizzy.
Dec 04, 2017

In December 1st, the United States Senate passed the tax reform bill by 51 to 49, which was the first time in 31 years that the U.S. Congress had amended the tax law. It was also the first great victory that Trump had been in power for nearly a year.

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Generous tax cuts for enterprises

The income tax of the enterprise is reduced from 35% to 20%.

American companies are encouraged to bring back overseas profits back to the United States: before tax reform, American companies have to pay 35% tax when they return to the United States abroad. After tax reform, the lowest tax rate for us enterprises to earn overseas is 10%. The rate of corporate profits repatriation of us cash equivalents is 12%, and the rate of illiquidity investment is 5%. By providing a low tax rate, American companies with large assets abroad are encouraged to withdraw their assets back to the United States.

Moderate tax cuts for families and individuals

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The personal income tax threshold has almost doubled: the exemption of single persons has increased from 6350 to 12 thousand dollars, and the exemption of family (married) has increased to 24 thousand US dollars from the previous 12 thousand and 700 dollars.

The tax is reduced from seven files (10%, 15%, 25%, 28%, 33%, 35%) to four (12%, 25%, 35%, and 39.6%).

In addition, the new tax reform plan will also abolish the inheritance tax, the Obama health insurance tax, the alternative minimum tax and other taxes.

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The tax reform will bring moderate benefits to the middle class and the upper middle class. The wealthiest taxpayers will also see huge gains on their net income level, while the poorest ones will lose the most.

It's not good for the low income student party

The donation funds accepted by the university should begin to collect taxes and abolish the remission of the interest tax on student loans.

School funding has been reduced, the cost of college students is rising, and the burden of students' loans after graduation is increased. All of these are not good for the low income student party.

Students who take scholarships are not optimistic

American universities often provide subsidies to students in the form of Tuition Reduction and scholarships. It is also one of the important reasons that many partners choose to study in the United States, especially in the United States.

Now, the new tax reform policy makes it clear that the tuition fees for graduate and doctoral students also need to be included in the income and tax.





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