McConnell insists that tax bill will be revenue neutral
Senate Majority Leader Mitch McConnell is countering an analysis from the Joint Committee on Taxation -- a non-partisan committee responsible for issuing reviews on all revenue-related legislation -- that says the Senate tax bill could rack up around $1 trillion in federal deficits over the next decade.
During an interview with John Dickerson on "Face the Nation" Sunday, McConnell said the GOP tax bill is "deficit neutral" and dismissed criticism that the Republican Party had abandoned its long-held political priority of fiscal responsibility.
"I'm not somebody who believes you can just cut taxes everywhere and get more revenue. I'm closer to the position of a deficit hawk," McConnell said.
The majority leader elaborated on why he believes that the bill as it stands curbs projected deficits, which would add to a spiraling national debt, and be a boon for the national economy.
"Let me say the economy would only have to grow four-tenths of one percent over 10 years to fill that deficit gap. I mean, we are totally confident this is a revenue-neutral bill and probably a revenue producer," McConnell said.
According to McConnell, the economic growth that would emerge if the bill gets signed into law would shatter financial expectations as well as existing growth rates from businesses and individuals having more money in their pockets. He did not cite any specific study.
"Even I believe that we could get four-tenths of one percent growth over the next 10 years out of a pro-growth bill like this," McConnell said, adding, "I think it's a very conservative estimate."
Not everyone is entirely convinced or even motivated by McConnell's optimistic and speculative trickle-down theory. Not one single Democrat voted for the Senate tax bill over the weekend, and Senate Republican Bob Corker of Tennessee voted against the bill out of "fiscal concerns."
This week, the House and the Senate will try to reconcile differences between their two bills with the aim of delivering a tax bill to President Trump's desk for his signature before Christmas.