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Update: Tax Policy Center - 2017 Tax Reform "bonuses" never actually materialized, are actually lower now than before

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I hope you didn't spend all of your $28 bonus in one go!


In 2018, gross domestic product (GDP) grew at 2.9%, about the Congressional Budget Office’s (CBO’s) projected rate published in 2017 before the tax cut. On the whole, the growth effects tend to show a relatively small (if any) first-year effect on the economy. Although growth rates cannot indicate the tax cut’s effects on GDP, they tend to rule out very large effects particularly in the short run. Although investment grew significantly, the growth patterns for different types of assets do not appear to be consistent with the direction and size of the supply-side incentive effects one would expect from the tax changes. This potential outcome may raise questions about how much longer-run growth will result from the tax revision.


Link to download a PDF of the actual CRS report

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"The study indicated that the tax changes contributed only marginally to the overall economic economic gains — maybe 0.3% of a "feedback effect." The economists say that for the tax cuts to pay for themselves, as Trump has promised, GDP would have to rise by 6.7%."


lol, just had to nearly triple GDP output and we'll make all that money back!

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  • 1 month later...

I work for a popular company that issued a $2,500 "bonus" because of the Trump tax cuts. Right-wing media was more than happy to list our company as an example of success.


The problem? The "bonus" was issued as RSU that vests over a period of 3 years, and is subject to significant taxes.

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