Trump administration weighing tax incentive for US households to invest in stock market

Discussion in 'Wall St. News' started by guru, Feb 15, 2020.

  1. guru

    guru

    https://thehill.com/homenews/admini...n-weighing-tax-incentive-for-us-households-to

    By Tal Axelrod
    February 14, 2020 - 10:55 PM EST

    The White House is reportedly considering ways to incentivize U.S. households to invest in the stock market as part of an upcoming tax cuts package.

    Four senior administration officials familiar with the discussions told CNBC that the proposal, which is one of several currently under consideration, would include a clause to allow some of household income to be treated as tax-free should families invest outside a traditional 401(k).

    The plan would allow households earning up to $200,000 to invest $10,000 of that income on a tax-free basis, though no figures are set in stone.

    “Nothing’s ruled out,” one senior administration official told CNBC. “Nothing’s been ruled in, either.”

    Larry Kudlow, the White House’s top economic adviser, added that the incentive approach most seriously under consideration would focus on creating universal savings accounts, which would combine retirement, education and health care savings.

    The tax break, if implemented, would represent “a pretty substantial amount of money for people” to have for retirement, economist Stephen Moore, who works at the conservative Heritage Foundation and is a White House ally, told CNBC.

    President Trump rolled out and signed out a tax plan in 2017, a piece of legislation he and his allies have said is responsible for economic gains. The president has floated another tax cut is in the works should he be reelected.

    “It’s sort of an idealistic document,” a senior official involved in discussions told CNBC. “Sort of, ‘If you reelect this administration, this is what you’re going to get.’”

     
    murray t turtle likes this.
  2. gkishot

    gkishot

    Good one.
     
    murray t turtle likes this.
  3. Cuddles

    Cuddles

    taxpayers be like:
    [​IMG]
     
  4. d08

    d08

    Backstopping the market with whatever he has.
     
    AKUMATOTENSHI and FriskyCat like this.
  5. ironchef

    ironchef

    I am afraid for the average mom and pop it will end badly. We tend to buy high sell low and treat the stock market like a casino.
     
    zdreg, d08, Cuddles and 1 other person like this.
  6. dozu888

    dozu888

    this is a race of who calls the bank first.

    of course someone will hold the bag but that is at least 3 years away, when aapl gets to $1000
     
  7. carrer

    carrer

    Good move. Let the poor make more money.
     
    gkishot likes this.
  8. Let the financial culling begin. Just another way to into the shallow pockets of the plebian masses. I wonder how many sub industries will be created? Setting the lemmings up to Gail once again.

    Akuma
     
    ironchef likes this.
  9. Wow! Time to get long, me bros! Get out before the big crash, tho... :rolleyes:
     
    murray t turtle and d08 like this.
  10. ironchef

    ironchef

    Correction: Let the poor provide liquidity. We retail mom and pop traders are max out and cannot provide enough liquidity anymore. :D
     
    #10     Feb 16, 2020
    AKUMATOTENSHI likes this.