Jason Furman, former chairman of President Obama's Council of Economic Advisors, told FOX Business a revenue-neutral and distribution-neutral tax bill would appeal to Democrats.
“I’d be working the phones. I’ve written op-eds calling for and proposing tax reform and you’d get a lot of Democrats interested,” Furman told Dagen McDowell and Maria Bartiromo on “Mornings with Maria” Tuesday.
President Trump’s proposed plan would include creating three income tax brackets of 12%, 25% and 55%, doubling the standard deduction and eliminating the estate tax and alternative minimum tax. But Furman argued Democrats would not “go along with” repealing the estate tax.
“No one is making an argument that there is a whole lot of economic growth associated with repealing the estate tax. The president just thinks it’s unfair for people like himself,” he said.
In order to get to revenue neutral, President Trump would have to broaden the tax base, reform international taxation, “make sure that our companies are paying something on their overseas operation and you’re really collecting that while making it free for them to repatriate,” and be careful not to create new loopholes.
“This has for example a new 25% rate for certain types of businesses—everyone is going to be clamoring to be that type of business… whole new loopholes and complications opened up by this plan… Even conservative tax analysts have condemned that part of the plan,” he said.