Republican Tax Reform An Instant Success

Republican Tax Reform An Instant Success
by Harry C. Alford
Finally, our Congress was able to move a significant form of law. It took a great while with immense controversy and debate. Congress, or should I say the Republican portion of Congress passed the long overdue tax reform. It is incredible that not one Democrat voted for the legislation. Apparently, the Dems have become out of touch with mainstream America. Who doesn’t want a tax decrease? Unbelievably the Democratic members of Capitol Hill refused to support such an attractive peace of legislation. What happened after it was passed and signed by President Trump? It was like the economical gates of “Heaven” opening to the joy of all Americans.
It has only been a little more than a week, but things have so quickly changed for the better of most Americans. The effect on our economy has already been enormous. The New York Stock Exchange has soared to record heights – beyond $25,000 in value for the Dow Jones portion. This will positively affect our overall wealth including retirement funds such as the 401(k) retirement programs.
The Fortune 500 corporations jump with vigor and great enthusiasm. They see their profits soaring; their wealth building and the futures becoming brighter. The leadership of the corporations quickly decided to spread the new wealth to its loyal employees. Here are a few of the improvements:
AT&T has announced $1,000 bonuses to 200,000 employees which is a billion dollar increase in capital expenditures. According to CEO Randall Stephenson, “Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world. Tax reform will drive economic growth and create good paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”
Comcast would not be outdone. They announced $1,000 bonuses to 100,000 employees; at least $50 billion investment in infrastructure in next five years. According to their press release, “Based on the passage of tax reform and the FCC’s action on broadband, Brian L. Roberts, Chairman, and CEO of Comcast NBCUniversal, announced that the Company would award special $1,000 bonuses to more than one hundred thousand eligible frontline and non-executive employees.”
This is just the beginning. More than 100 other major corporations announced bonuses to their employees; new grants via their foundations; infrastructure improvements. Southwest Airlines announced $1,000 bonuses to over 55,000 employees. While American Airlines announced bonuses for their employees, Southwest alerted Boeing to prepare to build them a new fleet of aircraft.
Just about every major bank in the nation has announced bonuses and wage increases for their employees. Many associations will feel this “bump” as corporate foundations will start to increase the amount of donations they annually give. Wage increases are becoming prevalent to just about every bank in the nation.
It is a financial lovefest. As these employees start receiving their bonuses and salary increases, big box stores such as Target, Lowes, etc. will start to feel the rise in consumer activity. Unemployment will certainly begin to decrease while property values will appreciate handsomely.
The critics of the tax reform have been silenced. Just what was the Democratic Party thinking? Money is good and when it is certain that it will flow widely amongst our population nothing, but positive things will happen. It did that when John F. Kennedy lowered income taxes as well as when Ronald Reagan did the same thing. It was a slam dunk, and this will be a shining star in Donald Trump’s legacy.
Along with the Tax Reform, an increase in oil exploration throughout our coastal shores and national parks will also stimulate the upcoming economy. Also, along with this legislation is the opening of more broadband deployment throughout our rural areas. This will expand our Internet Highways and improve communication and technology for our formerly underserved communities.
The saying that a “rising tide lifts all ships” certainly applies here. We can thank our conservative congressional leaders who stood behind our President and made this phenomenon a reality.
Those who want to “resist” this growth will have to sit and watch while we soar on to greater heights. There is a better day coming and it is materializing right before our eyes. May the wise ones join in and enjoy this great journey while the doubters get left behind and suffer in their negativity.
Mr. Alford is the Co-Founder, President/CEO of the National Black Chamber of Commerce®. Website: www.nationalbcc.org Email: halford@nationalbcc.org

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