By Gregory William
The Republican tax overhaul is the most sweeping change in the U.S. tax system in over 30 years. The bill is complex, but overall it is designed to make the rich richer. For example, the corporate tax rate drops from 35% to 21%. The Trump family and other billionaires will also reap huge savings because of changes to the estate tax; individuals can shelter up to $11.2 million in assets from estate taxes, and couples can shelter up to $22.4 million.
Perhaps more importantly, the tax cuts will increase federal debt, giving Republicans an excuse to cut healthcare, housing programs, programs for children, the elderly, and disabled including Social Security and Medicare. In short, their agenda is to attack the poor and working class, outright stealing from ordinary, struggling people. These programs are run using our tax money. They are not “entitlements,” except in the sense that, yes, we are entitled to what is already ours. We know that this will come down especially hard on people of color, LGBT folk, immigrants, the elderly, and women.
It is likely that we are entering a period of increased hardship and austerity. However, we should be clear that these policies are not coming out of nowhere. This is a continuation of a 40+-year trend. We are under the shadow of the great reversal. Even in supposedly progressive countries like France and Canada, the capitalist class has systematically attacked the social programs that workers fought for tooth and nail. Worldwide, wealth and resources are more and more being redistributed to the top.
A new U.N. report has confirmed what we already knew: Extreme poverty is prevalent in the U.S. and rising. Philip Alston, the report’s author, has said that in the U.S “if you’re born poor, guess where you’re going to end up – poor.”
This situation did not suddenly come about when Trump was elected. Inequality has risen through Republican and Democratic presidencies, and regardless of which party controlled Congress. The people have long given the Democratic Party the benefit of the doubt. But time and again, they have shown that their allegiance is to the billionaire class. It was Obama who bailed out Wall St., leaving the people behind in the so-called economic recovery following the financial crash. And the Democrats overwhelmingly voted in favor of the recent $700 billion military budget (more money for war profiteers means less money for workers).
We cannot afford to keep putting our faith in the Democrats. In this period of increasing inequality and oppression, we must focus on building up our own organizations and movements, truly independent of the Democratic Party. Most of all, it is necessary that we build a revolutionary movement to overthrow capitalism itself. We must fight for socialism.