Election Blog From TaxVox: Rubio’s ambitious consumption tax would reduce revenue by $6.8 trillion, give most benefits to the highest-income households
Howard Gleckman
Display Date

Senator Marco Rubio would convert the income tax into a progressive consumption tax, an ambitious idea that would eliminate the income tax’s penalty on saving. However, a new Tax Policy Center analysis finds that Rubio’s version would slash federal tax revenues by $6.8 trillion over the next decade with most of the benefits going to high-income households. Unless Rubio offsets those revenue losses with big spending cuts, he’d lose most if not all of the economic benefit of his plan.

Rubio tax plan

Rubio tax plan

Read the rest on TaxVox.

Body

Let’s build a future where everyone, everywhere has the opportunity and power to thrive

Urban is more determined than ever to partner with changemakers to unlock opportunities that give people across the country a fair shot at reaching their fullest potential. Invest in Urban to power this type of work.

DONATE

Research and Evidence Tax and Income Supports
Expertise Taxes and the Economy