Posts tagged with "Treasury Secretary Steven Mnuchin"

Under new U.S. tax code, average family’s refund is down by 8.4%

February 14, 2019

The first tax season under President Donald Trump’s Tax Cuts and Jobs Act is under way—and early filers are saying “Where’s my refund?” according to an NBC News report.

While the White House promised in October 2017, while it was pushing for passage of the law, that the average family “would get a $4,000 raise,” now some taxpayers are discovering that the tax man giveth—but also taketh away. And that’s especially true as it pertains to their annual refund, the network news outlet says.

The average refund this year is down by 8.4%, to $1,865, for the week ending February 1, according to data from the Internal Revenue Service. At that time, the IRS said, the agency already had processed about 16  million returns—down from the 18 million it had received and processed at the same time last year.  That’s down 12.4% from the first week of last year’s tax season.

In a news release on February 8, Secretary of the Treasury Steven Mnuchin said “filing season has successfully launched with millions of tax returns having been filed.”

Early filers vented their frustrations on Twitter, using the hashtag #GOPTaxScam.

“Last year I was able to get $2700 on tax returns but all my deductions are gone this year and was a net-$350. Only saving grace was increased child tax credit which kept my refund in the positive,” wrote @dexternights.

Indeed, the plan, which Trump said would simplify the tax code, also got rid of many deductions that working class Americans relied on to lower their tax bills—among them, home equity loan interest, moving expenses;and certain job costs, including licensing and regulatory fees.

Research contact: @AlyssaNewcomb 

‘Fed’ up: Trump’s anger simmers as financial markets slump

December 27, 2018

President Donald Trump’s frustration with Treasury Secretary Steven Mnuchin—one of his longest-term Cabinet members—has ratcheted up. The president lashed out after financial markets suffered their worst Christmas Eve slump ever despite Mnuchin’s attempts to call major U.S. banks and calm Wall Street according to CNN.

That doesn’t bode well. Indeed, a source told CNN, Mnuchin could be in “serious jeopardy” with Trump.

Nevertheless, the cable news outlet said, the president vouched for Mnuchin publicly on Christmas Day—shifting blame for the market volatility to the Federal Reserve, instead.

“Yes, I do,” Trump said on December 25, when asked whether he had confidence in Mnuchin. “Very talented, very smart person.”

But the source painted a different picture of Mnuchin’s standing behind the scenes. “Mnuchin is under the gun,” the source told CNN.

The Treasury secretary left Washington for a Christmas holiday in Mexico’s Cabo San Lucas, just as the federal government shut down over the weekend—while Trump canceled his own planned trip to his Mar-a-Lago resort in Florida and remained n the White House (ergo, his tweet, “I’m all alone”) over the holiday, absorbing a flood of negative news about the markets.

Trump could meet with Federal Reserve Chairman Jerome Powell in January, a person familiar with the matter told CNN on December 26. Trump has fumed at Powell for raising interest rates, which Trump believes is driving the stock market lower—and has even inquired whether it would be legal to fire him.  Some of the President’s aides believe a face-to-face meeting could help ease tensions and allow the two men to discuss the underlying economy.

Nothing has been formally scheduled. The Wall Street Journal first reported the discussions about the meeting.

At the same time in Washington, Mnuchin aides have been scrambling to find economic data to help their boss calm Trump down, but Trump was said to be unhappy with what Mnuchin was telling him, this source said.

Research contact: @Acosta