Battle of Tax Plans: Trump vs. Harris

As the final week of the election campaign begins before the debate, Donald Trump and Kamala Harris are honing their economic policy messages. The economy remains a dominant theme in the presidential elections, and the two candidates are relying on different tax strategies to strengthen the middle class. Trump is promoting extensive tax cuts for businesses and the wealthy, despite concerns about the rising budget deficit. He hopes that such drastic measures will lead to an extraordinary rate of economic growth. However, during his tenure, he never achieved the targeted 3% annual growth rate. Nevertheless, the median household income increased between 2018 and 2019. His planned tax cuts also include the elimination of taxes on tips and Social Security benefits, which could threaten the Social Security funding system. In contrast, Harris advocates for higher taxes on large corporations and the super-rich to promote homeownership and the costs of parenthood. She aims to build 3 million additional homes and provide tax relief for parents and entrepreneurs. Her spending plans are to be financed by raising the corporate tax rate to 28% and other measures. Despite these measures, her plans could also increase the budget deficit. Another difference is evident in their stance on tariffs. Trump plans high tariffs on imports to strengthen domestic production, while Harris warns that such measures could burden the middle class more heavily. In summary, both candidates offer different visions for tax policy, with Trump's plans focusing on extensive tax cuts and Harris' on targeted public investment. How these different approaches will impact the economy remains to be seen.