Analysts weighing in on the tax proposals of the two major candidates not surprisingly prefer one plan or the other depending on where they fall on the political spectrum. Those who are looking for equality and fairness tend largely to prefer the plans put forth by Hillary Clinton, while those who desire more simplicity and lower rates to spur growth favor the proposals of Donald Trump. "Trump's plan is vague on the pay-fors but the Clinton plan is short on details in some respects as well," said Mark Luscombe, principal federal tax analyst for Wolters Kluwer Tax & Accounting. "Trump goes beyond the House Republican plan in its concept of not just lowering the corporate tax rate, but lowering the business income tax rate to 15 percent. The fact that the ordinary income rate goes up to 33 percent under the plan creates a real incentive for a sole proprietor or pass-through to shift what would otherwise be ordinary income into business income. The Trump people have said they would come up with something to prevent people trying to game the system. They're aware of the problem, but they haven't identified a solution."
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