The US tax cuts package

The final package has been passed in the House and signed by the President. It is a big victory for Trump and the GOP. It is just a pity they are not cutting spending also, as the US deficit will get even worse now.

The main details are:

• Corporate tax rate drops from 35% to 21% (note Canada is 15%)
• 15% personal tax rate drops to 12%
• 25% rate drops to 22%
• 28% rate drops to 24%
• 33% rate to 32%
• 39.6% rate to 37%

The NZ corporate tax rate of 28% is now looking quite high.