U.S. tax reform bill passed

U.S. President Trump signed a $ 1.5 trillion tax reform bill at the White House Friday. This is the result of a one-year effort by the White House and Republicans, which will provide U.S. businesses and Americans with the biggest tax cut in 30 years.【】Global market

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Tax Reform Act

The tax reform bill is the largest adjustment to U.S. tax law since more than 30 years. Under the recently passed tax reform act, corporate tax rates in the United States will be reduced to 20%.

Trump is expected to formally sign the approval of the tax reform legislation by the end of 2017. Before Trump signed, lawmakers needed to resolve the distinction between the bill passed by the Senate and the two versions of the bill passed by the House of Representatives last month. It is expected that representatives of the House and the House of Representatives next Monday will begin to resolve the differences between the two versions and eventually present a bill to the president. If all goes well, Trump will formally sign the bill by the end of this year.

The main provisions of the Tax Reform bill passed by both Houses are the same, reducing the corporate tax rate from 35% to 20%, but some details have been changed in order to get more votes (especially in the Senate). For example, in the Senate version, the point in time to start implementing the new tax rate was 2019, a year behind the House version.

In addition, in the Senate version, tax cuts are only temporarily imposed on individuals and from 2026 on, the tax relief for individuals will cease.

The version passed by both Houses is expected to increase the U.S. government's fiscal deficit by at least $ 1.4 trillion in the next 10 years, not counting economic growth.

The final version will be an important issue for the 2018 parliamentary election. The Republican Party attaches great importance to the results of the tax reform bill, but also because it will become a major bargaining chip to hold its position in parliament.

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Tax reform final plan introduced

Diagram US tax reform
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Impact on the United States
New tax reform program out of Silicon Valley technology companies or into a big winner

The U.S. tax reform is a boon to Silicon Valley technology companies such as Apple and Alphabet's parent company Alphabet, which will enjoy significant tax cuts and the opportunity to get billions of dollars overseas at lower interest rates . Contrary to earlier warnings from officials in California, most workers in California and their families can also enjoy tax breaks. California summons the highest personal income tax in the United States. Governor Jerry Brown criticized the new tax law as "extremely evil." ... [Details]

US tax rebate 960 billion yuan year on year Experts say the effect of small size to be observed

Huang Lixin said the U.S. government predicts that these tax cuts will reduce the U.S. tax revenue by 1.45 trillion U.S. dollars in the next 10 years. However, a careful analysis shows that this is the number of 10-year tax cuts in the United States, with an average annual tax cut of about 145 billion U.S. dollars (about 960 billion yuan). In 2016, U.S. fiscal revenue was about 3.5 trillion U.S. dollars (including social security tax), and the annual tax deduction accounted for about 4.1% of the annual revenue. The scale of such a tax cut is welcome, but in fact not so much imagined. ... [Details]

Trump "tax reform" in the end changed what? The answer is in this article

The bill will retain seven grades, but reduce one of five grades of tax rates. The new tax rate started at 10% and then rose to 12%, 22%, 34%, 32%, 35% and 37%. The top tax rate of 37% applies to individuals earning more than $ 500,000 a year. The starting point for the couple to enter the maximum tax rate is 600,000 U.S. dollars. The original rate of this grade is 39.6%. The personal income tax relief will start in 2018 and expire in 2025. ... [Details]

Both House and Senate climbed to a nine-month high through yields on the tax reform bill

Treasury yields rose to a nine-month high Wednesday (December 20) after the U.S. Senate and the House of Representatives passed a comprehensive tax bill. In late US session, benchmark 10-year Treasurys reported a yield of 2.490%, rising to 2.4989% earlier, the highest intraday level since 30th of October. The yield on the 30-year Treasury note rose to 2.874%. Bond yields are inversely proportional to price. ... [Details]

Winners and losers inventory - 30 years of the largest tax reform on American business impact

Banks, pharmaceuticals, retail and telecom companies are expected to benefit from this tax reform health care, private equity firms and the real estate industry mixed. ... [Details]

The overall situation of the U.S. tax reform has been set at an average annual tax rate of $ 1,182 per family

Just now! The most radical tax reform in the history of the United States finally set the overall situation! Trump said: This is Christmas gift to all Americans this year! The House version has been adopted, and the Senate version has also been adopted. In the next two versions will be negotiated with each other, come to the final version, to vote, Trump eventually signed. ... [Details]

The U.S. Congress report cautions that tax reform will threaten billions of dollars in the welfare of the poor

The tax reform legislation led by President Trump has entered a crucial period. A report by the U.S. Congressional Budget Office (CBO) said billions of federal benefits, which should belong to low-income groups in the United States, may have fallen under the tax reform proposed by Senate Republicans. ... [Details]

Wind securities comment on the United States tax reform: save 4 controversy The U.S. fiscal surplus will increase

Trump tax reform purposes: to reduce the tax burden; simplify tax procedures; to attract U.S. companies to reverse the profits, to prevent double taxation; a simple comparison, in addition to "Obama era", the tax reform will indeed significantly boost the economy However, as stated in the "Laffer Curve," the fiscal surplus will rise again as time goes by. ... [Details]

Trump tax reform by the Senate by 10 years or by 1.4 trillion U.S.dollars deficit

On December 2, the U.S. Congressional Budget Office (CBO) released a report that if passed, the amended Senate tax reform bill will increase government debt by about 500 billion U.S. dollars before the next presidential election. The tax reform will increase in the first five years of implementation Over 900 billion U.S. dollars. After 10 years, the government deficit will increase by about 1.45 trillion U.S. dollars. ... [Details]

CITIC Securities Comments on US Tax Reform: The Return of Funds Supports the Short-term Dollar Strong and Strong US Stocks

The dollar index will be at least six months relatively strong. In the short term, the passage of tax reform will help to boost market confidence. The drop in corporate tax will help increase EPS and offset the current valuation pressure on US stocks. The return of funds may also stimulate enterprises to increase their investment, dividends and repurchases, etc., which will benefit the US stocks. ... [Details]

Goldman Sachs: US tax cuts or will promote 2018-2019 GDP growth by 0.3%

The final structure of the law is expected to be more Senate bills, not the House bill, including a 20% corporate tax rate that will take effect in 2019; Goldman Sachs said that although the tax rate is lower than the current 35%, taking into account the coverage of the program Expected to be more extensive, the effective corporate tax rate will actually "drop only by two or three percentage points." ... [Details]

Impact on the world
Tax reform bill for the oil and gas industry to bring favorable Arctic wildlife reserves officially started

Republican parliamentarians won the long-awaited victory on Tuesday on approval of exploration activities in the vast Arctic region as part of the tax reform. After Trump signed the bill, the 40-year mining ban will be canceled. ... [Details]

Changjiang Securities: an article to understand the impact of the U.S. tax cuts on the global market (graphic)

With the U.S. Senate voting to pass the tax-reduction bill, Trump's tax cuts have come to a dead end. From historical experience, the United States economy will tend to accelerate growth after the implementation of tax cuts in the United States. The Federal Reserve also tends to speed up the rate hike. At the same time, the trend of global asset classes will usher in new changes. ... [Details]

US tax reform shot fired the global capital competition and tax spill war

After a long and difficult discussion and amendment, on December 1, the Republican Party proposed the tax reform bill with a 51:49 vote in the Senate. Despite the "revolution has not been successful," Trump tax reform is about to land, while tax reform triggered by global capital competition and tax spillover effects will also be slowly kicked off. ... [Details]

Comment on U.S. tax cuts: triggering large-scale tax concessions in market economy countries

What impact will this tax cut have on the world? It is certain that one of the effects will trigger a large-scale tax concession in market economy countries. The second effect is that it may be the economic life of some non-market economy countries. Most non-market economy countries are not charged corporate income tax, but the collection of turnover tax. ... [Details]

Republican tax reform successfully pass the Senate dollar long spring is coming?

The tax relief measures of the tax reform bill may bring a deficit of 1.4 trillion U.S. dollars to the United States, which is also the focus of the previous stalemate. The Commercial Bank of Canada believes that the tax reform next year is unlikely to dominate the exchange rate movements. As the United States and other countries and regions have tightened monetary policy one after another, and the U.S. current account deficit is huge, the tax reform bill is unlikely to reverse the weakness of the U.S. dollar next year. ... [Details]

just! Senate passed tax reform bill next year or raise interest rates four times

In the view of Morgan Asset Management, Bob Michele, the bond market should prepare for the shock from the Fed if the United States Congress tries to pass the tax reform act. Michele believes that even the most hawkish expectations are not enough. He said that without the fiscal stimulus, the terminal federal funds rate appears to be between 2% and 2.25%. ... [Details]

Li Xiaoxiao: U.S. tax reform has a positive impact on the global stock market

Li Daxiao said that this is a major tax adjustment in the United States. Its tax reduction efforts are the largest in the history of the United States and a major victory since President Trump assumed office. It has a significant stimulating effect on promoting U.S. economic growth and has a positive impact on the global economy. This measure is also an important promoter of the strength of the U.S. stock market and has a positive impact on the global stock market. ... [Details]

Impact on China
Trump tax reform is good, bad China which industries?

Beijing December 20, the U.S. House and Senate voted on Trump tax reform. If all goes well, Trump plans to sign the bill this week, claiming that the United States "the largest tax cut in the history" will also be settled. How will the tax reform affect the U.S. economy, interest rates, exchange rates, import and export, capital flows, US stocks, U.S. bonds and commodities? Let's take a full view. ... [Details]

A figure to understand the United States tax cuts! What is the impact on the capital market and the Chinese economy?

After the U.S. tax cuts, the real economy will benefit. The last round of tax cuts in the United States was driven by the U.S. demand and the exports of China, Japan, Germany and other producing countries both showed significant improvements. ... [Details]

Zhang Yu Talks about U.S. Tax Reform: The Limited Influence Will Not Forces the Adjustment of Domestic Monetary Policy

After the appreciation of the renminbi, the exchange rate of RMB has now fluctuated bidirectionally and is expected to be relatively stable. There is no strong expectation of unilateral devaluation. Under such a background, it can be said that domestic monetary policy is more independent and takes precedence over domestic fundamentals. Will not be affected by foreign policy and constraints. ... [Details]

Yang Delong: US tax cuts are good US A-share compensatory growth strong demand

Since the beginning of this year, global stock markets are flourishing everywhere, showing the most significant general price increase in recent years. In contrast, the performance of China's stock market lags behind and there is a strong demand for compensatory growth. U.S. tax cuts have stimulated a faster recovery of the U.S. economy and boosted China's export growth to the United States. It is estimated that in 2018, A-share market will continue. ... [Details]

Founder Securities Talks about U.S. Tax Reform: No Excessive Pressure on Exchange Rate

The pressure of devaluation of the renminbi will surely rise but will not result in a sharp devaluation of the exchange rate because the domestic exchange rate formation system had undergone an anti-marketization change in May this year. After the introduction of the counter-cyclical factor, it is equivalent to re-limiting the exchange rate fluctuations Live, then even if the interest rate parity pressure on the RMB exchange rate, there will not be much devaluation losses. ... [Details]

Changjiang Securities: If the United States tax cuts China which industries will benefit?

Tracing back to the previous U.S. tax cuts and the rapid growth of the United States imports all have significantly benefited from the export of major manufacturing-oriented countries. The current round of the United States tax cuts, China's electrical and mechanical, chemical, plastic and rubber, equipment, basic metals, exports, or significantly improved. ... [Details]

Authoritative comment
Beijing Normal University professor Zhong Wei: The United States may consider tax increases rather than tax cuts

As a quiet bystander, we may be more detached than more anxious. Perhaps nowadays, as the product of the domestic political struggle in the United States, the U.S. tax relief plan surpasses the consensus reached as the elite of the United States. It is not the most urgent economic policy in the United States today. From a slightly longer period of time (eg, 5 to 10 years), the United States may need more tax increases than tax cuts. Such a judgment will make many fans who are expecting other countries to step into tax cuts. ... [Details]

Bank of America Merrill Lynch: The long-term impact of tax reform in the United States is questionable

Tax cuts will increase by about 0.3 percentage points every two years in the future. However, the biggest question is whether tax cuts can stimulate long-term economic growth. First, an individual tax deduction is not the only change. It is only temporary. The clause that allows companies to charge for new investment projects will be phased out after five years, which will result in a higher effective tax rate for the enterprise. But Republicans touted their plans for tax reform as a way to stimulate the economy. They said it will drive business investment, hiring and salary increases. ... [Details]

Associated Press Analysis: US tax reform order Trump group or flew to win over money

The U.S. media said that the U.S. Congressional Republicans will soon pass a $ 1.5 trillion tax relief plan, and that President Donald Trump will also become one of the winners of the plan. To Trump, this is not only a political victory, but his real estate kingdom may also get a fortune. ... [Details]

People's Daily Overseas Edition: US substantial tax cuts in China how to deal with?

The current fiscal and taxation in China there are still some hidden problems, such as higher tax rates, transfer payments and relief too much. If we can take this as an opportunity to some extent to reduce the exemption and transfer payment preferences to reduce unnecessary fiscal expenditures, while reducing the tax rate, then China's fiscal reform will also usher in a vast space. ... [Details]

Zhu Guangyao, Vice Minister of Finance: The spillover effect of the U.S. tax reform bill can not be ignored

U.S. President Trump's tax reform bill has received global attention recently after the U.S. Senate passed the bill. Deputy Minister of Finance Zhu Guangyao said on December 3 that the close adjustment of the global economy, especially the adjustment of the tax policies of the major and largest economies, will undoubtedly have a significant impact on our own economy. At the same time, its spillover effects should not be ignored . ... [Details]

CCTV: US tax reform or into a market wave of explosives tax relief is not inevitable

Of course, the global wave of tax cuts is not an inevitable result. Taxes are not the only factor that determines your business. Low-cost funds, a highly qualified labor force, a stable supply chain, advanced technology, a sound regulatory system and a large market are also important conditions for enterprises to enhance their competitiveness. ... [Details]

Xinhua News Agency: Will the tax reform lead to the return of global capital to the United States? Short-term assertion

In the era of economic globalization, especially the rapid development of the more mobile digital economy, the issue of coordination of international taxation has become more and more serious. International tax loopholes make multinational corporations crazy tax avoidance, competitive tax cuts may worsen the financial status of governments, competing for the tax base may lead to double taxation, supply chain distortions and other issues. Therefore, the tax issue has become not only the internal affairs of a country, but a multilateral issue requiring international cooperation. ... [Details]