For the Record: Let's talk taxes!

Let’s talk about something no one likes talking about.

No, not that. Let’s talk taxes!

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Hey, you didn’t bail! Which means 1) you’re a really dedicated For the Record reader, 2) you’re a glutton for punishment, or 3) you actually want to know where the candidates stand on all that money we pay to the federal government each year.

We’ll try not to make this too boring or painful.

WHERE HIL AND DON STAND

So, you probably saw that video of Hillary Clinton saying at an Aug. 1 campaign stop that she wanted to raise taxes on the middle class. Is that what she really believes?

Well, no. As snopes.com notes, the official transcript says “we aren’t going to raise taxes on the middle class.” So maybe she either had a Freudian slip or mumbled the n’t (how’s that for spin?).

No matter what she said at that one stop (the one, ironically, where billionaire Warren Buffett was stumping for her plan to tax the ultra-rich), Clinton has said many times before without botching it that she supports a higher tax rate for millionaires, a surcharge on those who make more than $5 million and increases in the capital gains tax (the tax charged on returns on investment). She also would offer tax breaks for middle-class taxpayers with high medical costs, who are paying for higher education or who are helping a sick family member, among others.

Meanwhile, Donald Trump changed his tax plan Monday in Detroit, calling for fewer tax brackets and a higher tax rate for the richest Americans than he had previously sought (it's still a lower rate than what the ultra-rich currently pay).

In a highly anticipated speech, he also touted tax breaks for child care, no income tax for low-income folks, a moratorium on economic regulations and spending twice as much as Clinton on infrastructure. Clinton will unveil more details on her jobs plan Thursday.

WHAT THAT MEANS

In probably oversimplified terms, Clinton wants to raise taxes on the rich and cut them for the middle class, while Trump wants to lower taxes on everyone, especially the rich. As you’d expect, both sides have criticized their opponents’ ideas as disastrous and costly.

What are economists saying?

The Tax Foundation estimates that Clinton’s proposals would raise $498 billion in revenue over the next decade – but it’s more like $191 billion if you account for the decreased economic output they expect to come because of it. The foundation also found that Clinton’s plan would decrease top earners’ after-tax income by less than 2 percent.

Meanwhile, the Tax Policy Center analyzed Trump’s proposal – before Monday’s changes, mind you – and found that it would increase incentives to work and invest but would cut federal revenue by $9.5 billion over the next decade. Which means that unless it is accompanied by big spending cuts, it would jack up the federal debt – and negate most of the economic benefits it would encourage initially.

THIRD PARTY STANCES

If none of that appeals to you, Gary Johnson, the Libertarian, wants to replace the current system of personal and corporate income taxes with a flat-rate retail tax that offers rebates for food purchases. Economists say such a proposal could be more efficient and stable but could disproportionately burden the poor.

Jill Stein, the Green Party candidate, has offered far fewer details on her tax plan. Her website says she would “rewrite the entire tax code to be truly progressive with tax cuts for working families, the poor and middle class, and higher taxes for the richest Americans.” But does that mean heftier cuts and higher taxes than what Clinton has proposed? Not sure.

MORE FROM THE CAMPAIGN TRAIL

• Historians say Clinton’s success is inextricably tied to Obama’s. At least he has a higher favorability rating than hers (USA TODAY) 
• Whoa, wait. What was that? Let’s fact-check Trump’s big economic speech (Detroit Free Press) 
• Former House Republican Conference chief policy director jumps in race to challenge Trump. Conference says, “Evan who?” (USA TODAY) 

HE WANTS FRIES WITH THAT

We’re still reeling over that picture of Donald Trump on his private jet eating Kentucky Fried Chicken with a fork and knife (really? Who eats fried chicken like that?!) But if you think that’s some sort of silver-spoon metaphor – like, Trump only eats stuff at $200-a-plate restaurants and such – you’re wrong. As The New York Times tells us in an article about the Trump diet, he’s a huge fast-food aficionado. Because McDonald’s has such high standards of cleanliness. Really, we cannot make this stuff up.