tv At This Hour With Kate Bolduan CNN November 2, 2017 8:00am-9:00am PDT
ey do nothing. join us and tell your member of congress that they have a moral responsibility to stop doing what's political and start doing what's right. our country depends on it. hello, i'm ana ka cabrera. on capitol hill, a landmark moment for republicans and a major test for a party struggling to come together. house gop leaders about to unveil what they hope will be the party's signature achievement of the trump era. a bold tax reform plan. lawmakers themselves have a lot at stake here. gop squabbles delayed yesterday's planned rollout and some republicans fear if this goes south like the failed obamacare repeal, it could doom
them in the next year midterm election. sunlen serfaty is joining us on capitol hill getting new details about the tax plan. sunlen, as we wait for the official announcement from house leaders what more are you learning? >> i can tell you memberrs were briefed on the contours of the tax bill moments ago and they are learning the nuts and bolts of what is actually in this massive tax bill. we know some details, this reduces the number of individual tax rates from seven down to four. it permanently lowers the corporate tax rate from 35% to 20%. and also, one of the biggest, most contentious issues on the table throughout this debate leading into them actually releasing the bill text today is the issue over the s.a.l.t. provision, state and local incomes. a lot of members leaving the briefing grumbling about the deal brokered through according to this tax bill the repeal, that repeals state and local tax deduction but gives them one
concession allows them to deduct property taxes that would be capped at $10,000. i talked with one congressman from new york dan donovan who is not sure if that's going to be enough to essentially win his support to have him sign on to this bill and i have to tell you a lot of members just calling this an opening salvo saying that in essence this is largely been crafted behind closed doors and largely shrouded in secrecy leading into today, so they have to take time to actually study everything. and an incredibly ambitious schedule ahead of them. leadership who will speak from a moment from this room behind me are going to lay out an ambitious schedule, bring it for markup next week and potentially to the house floor the week after. they want to get it passed at least in the house by thanksgiving and they want this process wrapped up by the end of the year. ana. >> we are going to take those comments live as they try to make their case, sell their plan to the american people. meantime as you and also democrats are just getting a
look at the details of the plan, we are now hearing reaction from capitol hill from nancy pelosi. let's listen. >> today they have started to unveil a tax bill designed to plunder the middle class to put the -- to put into the pockets of the wealthiest 1% more money. while republicans ambush the american people with the half baked tax bill written in the dark to be raced through congress before it is understood, we already know some of what to be the truth. it raises taxes on the middle class, millions of middle-class families across the country, borrows trillence from the future, from our children and grandchildren's futures to give tax cuts to the wealthiest and encourages corporations to ship jobs overseas, and the budget ransacks medicare. >> she just slammed the bill.
stunning reaction. >> it is. it is no surprise coming from democrats. i think they're, of course, is a realization they will need republicans to get this through and certainly democratic support would be nice but they don't expect it here. you heard nancy pelosi there saying this was written in a dark of night. that is a criticism that i expect we'll hear a lot from democrats. and i have to say, it has been privately expressed from many republicans up here on capitol hill. that said, it is all systems go. they are pushing ahead. republican leadership know their most -- their chief concern right now is making sure that their republican caucus gets on board with this bill. >> sunlen ser fatty we'll let you go as we prepare for the rollout. as soon as we see the speaker of the house paul ryan and others take the podium we will take you there live. chilling details on new york's deadly terrorist attacks since 9/11. investigators have provided a dplims of glimpse of what the
suspect is telling them and president trump'ses tweets could disrupt the legal case. the school bus was mangled on the rampage by that suspect slamming into it. there were children still trapped inside. watch this. >> the -- >> they're stuck in here. >> are they okay? >> are you okay? >> oh, my god, oh, my god. >> hey. i need -- can you call 911? i got -- oh, my god. oh. oh, my god! okay. i need an ambulance right here. right here. the guy t-boned. come on. there's a kid right there. >> you see the police were already on scene. let's begin with the investigation. alex is at the site of the attack. the suspect apparently is expressing no remorse? >> none whatsoever. and frankly that dramatic video if he had not crashed into that
bus, this whole incident could have been a lot worse, a lot more dead. we are learning more from the attacker himself about the planning, about how much more he wanted to do and the reason that we're learning so much so quickly is he has waived his miranda rights and he is opening up to investigators, but as you say, he is expressing no remorse. we know this attack has been in the works for around a year but only in the past two months the attacker decided to use a vehicle and that's likely because he looked over at europe where all those horrific attacks have been taking place in berlin, london and barcelona where cars have driven into crowds and killed and injured so many people, so we understand that on october 22nd, which is just under two weeks ago, he went to home depot in new jersey and rented the same type of vehicle to carry out this attack to practice and on halloween two days ago he rent that vehicle, just after 2:00 p.m., driving across the george washington bridge down the west side highway, along the west side of
manhattan, down that bike path, mowing down pedestrians and people on their bikes. that is when just after 3:00 p.m., he ran into that school bus coming out of the vehicle and being taken down bay young police officer named ryan nash who stopped the attack, shooting the attacker in the abdomen. he had then planned to go across the -- go east across the southern tip of manhattan to the brooklyn bridge to and i'm quoting the criminal complaint kill as many people as possible. now, once the attacker was taken down, the au authorities discovered that he had a bag full of knives. that could imply he had planned at some point getting out of the vehicle with knives and going about a stabbing spree, something we've seen in at least one attack in london over in europe. they also found two cell phones, one of which contained some 90 isis related videos including videos of execution and beheadingses and 44,000 photos. among the many questions that
investigators have for the attacker, one of them has been answered, his allegiance to isis. we know he pledged allegiance to isis in a note found near the site of the attack and we know he requested isis flags to be hung in his hospital room. clearly something that did not happen. we know he considered using isis flags having them waved from the vehicle as he carried out this attack and decided not to in the end because that would have drawn too much attention to him. ana, one more thing, we have not seen, surprisingly, a claim of responsibility from isis. normally in these type of situations where someone has at least claimed allegiance to isis you see a claim of responsibility. that we have not yet seen. ana? >> important to note that. alex marquez, thank you for the update. president trump facing blowback over a series of comments that could make it more difficult to prosecute the suspect. just before midnight the president tweeted, new york city terrorist was happy as he
asked to hang isis flag in his hotel room. his hospital room. he killed eight people badly injured 12, should get death penalty. joe johns is at the white house. the president is back at it on twitter this morning. >> that's absolutely right and it's interesting sort of two prongs to this story. on the one hand the president, yes, certainly making it potentially more difficult to get this case successfully through the judicial system by giving ammunition, for example, to defense attorney who might be representing the suspect because the president of the united states carries so much weight, so many people listen to him, there would be an argument there that it would be impossible or at least very difficult to get an impartial jury, and then there's a second half of it about guantanamo bay. the president suggested yesterday he wanted to send the suspect to guantanamo bay and then he backed off of that in tweets this morning. just read it. i would love to send the new
york city terrorist to guantanamo but statistically that process takes longer than going through the federal system and there is something something appropriate about keeping him in the home of the horrible crime he committed should move fast. death penalty the president writes in caps. this is an acknowledgement of the fact that it could be difficult legally and constitutionally to send a person who is arrested on u.s. soil as a combatant or whatever to guantanamo bay. back to you, ana. >> i want to ask you about breaking news we're getting in. we know that the former trump campaign adviser sam clovis the president's nominee to be the department of agriculture chief scientist has now withdrawn from that position, being under consideration. joe, how significant is this and explain what has led up to this moment? >> yeah. i think it's important, one sentence statement coming out from the white house press office, we respect mr. clovis' decision to withdraw his
nomination, now coming from the press secretary sarah sanders. the significant is, he was up for the job as the top scientist at the u.s. department of agriculture. there were questions about his qualifications for the job but more importantly i think he had connections to george papadopolous, who is the one person who has actually pleaded guilty so far in the russian investigation. he pleaded false statements after an interview with the fbi. and clovis had a connection to papadopolous. apparently they exchanged e-mails, perhaps some other connections and there was a question about whether -- and the extent to which clovis may have encouraged the idea that trump officials might travel overseases to meet with russia officials. the attorney for clovis has put out a statement of her own saying that mr. clovis was very much opposed to the idea of
trump aides traveling overseas to meet with russians. nonetheless mr. clovis has stepped down from that nomination and it was clear that it could have been a tough road to how e if it got to capitol hill. >> thank you. from the white house. joining us to discuss, cnn national security analyst samantha, and shameis hughes, the deputy director at george washington university. samantha start with you and the new details we're learning from the criminal complaint with the suspect. one thing that stood out to me was that his cell phone contained 90 video, much of it was isis propaganda, and also almost 4,000 images, again isis propaganda, also an image of isis so-called leader baghdadi. with when you look at that or knowing that, that digital footprint, i imagine that is a big deal for investigators as they try to figure out exactly how he was radicalized and who
else may be in his orbit. >> exactly. good news is, digital footprints don't go away. in the first instance in the near term the focus has to be on making sure there are no other attacks planned. so law enforcement intelligence officials can look at his digital footprint and say who else was he in touch with, was he urging anyone else to take similar action. at the same time we can use technology as force for good here. we can go back and use advanced machine learning tools to say, what was the suspect's pattern of behavior on-line and then look to see whether any other users are exhibiting similar patterns and that can help ward off attacks. >> so that's the key is preventing the next one or deterrence as well. shameus, you have researched dozens of homegrown terrorist cases. they believe the attacker was radicalized during his time in the u.s. not before. based on what he's telling investigators apparently, what they found on his phone and vehicle, what do you take away
from it so far? >> yeah. i think that's the exact point. when you look at the cases of isis in america, the vast majority are u.s. citizens or legal permanent residents. we talk about homegrown terrorism we really mean homegrown terrorism. they've looked through his phones and found the isis videos and propaganda, but this is a combination of the on-line radicalization and off-line connection too. it's one thing to watch videos. it's another thing to have an individual next to you encouraging you to commit attacks. >> samantha, are you surprised he's talking to investigators? and how much credence would you give to what he's saying? >> i think the investigators will handle that question and focus more on what we can do to prevent the next ait tack. what's really clear from what you mentioned about his access to content on-line, we're engaged in digital warfare here and we're losing the war in this theater and we need to completely recalibrate our approach to how we stop access to digital content that
extremists putting out. we need to reorganize and really create an anti-digital warfare entity so we can stop this content from being published on-line from its source and then stop access when it's put on the digital platforms. >> he wasn't trying to hide his feelings about isis. should his on-line activity have been flagged to someone? >> i think the answer is definitely yes. and what we need to do again is go back and look why it wasn't this time around. and i think, you know, back when terrorists started exploigts the financial system as it got more modern, move money that was critical to their survival we created dedicated threat finance units at the department of the treasury to work on combatting threat finance. we're now facing a situation where terrorists are moving illegal content on-line and manipulating digital infrastructure and we need to restructure to address that. >> shameus, i want to ask about the follow-up here. since this attack happened the president was quick to call for
the elimination of the diversity visa lottery program. if he wasn't radicalized beforehand would eliminating the program make the u.s. safer? >> i think you're talking about a small program about 50,000 visa applications in that program a year. when talking about homegrown terrorism it's homegrown terrorism. you have individuals that are drawn to it here and yes, of course, we should take a hard look at individuals that are coming into the u.s. and we should review our processes. but we largely need to focus inward instead of outward. >> all right. thank you both. we have to leave it there. all eyes back on capitol hill now, where we are just moments away from the gop's highly anticipated tax plan rollout. we will be bringing that to you as soon as it happens. cnn's phil mattingly will interview speaker paul ryan live immediately after the announcement. stay with us. much more ahead at this hour. that cough doesn't sound so good. take mucinex dm. i'll text you in 4 hours when your cough returns.
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gop tax reform plan presser, i want to bring you more on the breaking news, president trump's nominee for a top post at the agriculture department has withdrawn his name for consideration. sam clovis was a top campaign official, he was up to be the department's chief scientist and now we're learning questions about his ties to former trump campaign adviser george papadopolous who pleaded guilty to lying to the fbi about his russia contacts put that nomination in jeopardy. jessica schneider is covering the angles for us and what are you learning about clovis' decision to withdraw? >> really the decision of him to withdraw his maim from that nomination c nomination to chief scientist at the department of agricultural hits on the point how far the russia investigation is impacting the trump administration itself. sam clovis was implicated in those court papers that were released on monday, all relating to the guilty plea by george papadopolous. so first of all, sam clovis to recap for you, has withdrawn from his nomination as chief
scientist of the department of agriculture. we have a statement that clovis has released. let me read it for you. the political climate inside washington has made it impossible for me to receive balance and fair consideration for this position. he continued on to say, the relentless assaults on you and your team seem to be blood sport that only increases in intensity each day. sam clovis seeming to refer to president trump and the white house administration but it is important to note that sam clovis was referenced at least two times in the documents filed on monday and it was implicated that sam clovis did have a few e-mail conversations with george papadopolous in which the government claims that clovis actually encouraged papadopolous to go to russia, meet with russian officials, so that now the fallout we're seeing, sam clovis has withdrawn his name. it is important to note when the washington post revealed sam
clovis in the documents, only referred to in the documents as campaign supervisor, sam clovis' attorneys pushed back saying no, he wasn't really encouraging him, that was sort of misread, he was being polite as he would be to any campaign volunteer. so his attorneys tried to push back on this earlier in the week, but, of course, we have seen the fallout with sam clovis withdrawing from the nomination as chief scientist at the department of agricultural. ana? >> meantime we have manafort and gates back in court today, two more witnesses will be testifying before the house intel committee. what can we expect? >> that's right. right now we know that carter page is behind closed doors, he is talking with the house intel. you know, carter page has been on their radar for quite some time. of course, he had disclosed to the senate intel that he had been in touch with russian officials in the 2013 and also that he had gone overseas to russia at the height of the campaign when he was serving as a foreign policy adviser to the campaign and he went over there in july 2016.
now carter page has said that when he went over there he did not meet with russian officials, but now there's renewed interest in carter page because he admits he had e-mail conversations with george papadopolous and carter page's meeting, his travel overseas to russia, it did come right around the time that george papadopolous was pushing those e-mails on the campaign, asking for campaign members to meet with russian officials, so there is some question there, of course, he will be facing a lot of question on capitol hill. we know it is behind closed doors, ana, but they will be releasing a trips about it. -- transcript about it no thank you. we are seeing some of the russian bought ads millions of americans saw on their social media feeds in the lead up to the 2016 election, ads like this one that was likely tailor made for people who liked religious pages depicting a baton between jesus and -- battle between jesus and satan.
they grilled officials in letting russian trolls letting the ads stir up division among american voters. >> an electoral ads, paid for in rubles, were coming from russia. those are two data points. american political ads and russian money, rubles. how could you not connect those two dots? >> i want to bring in cnn senior media correspondent and host of "reliable sources" brian stelter to talk about this and want to give everybody a quick warning. we may have to dump out of our conversation to go straight to capitol hill. we're expecting again that press conference to start any moment as the gop unveils their tax plan and the details. . coming back to what we've now learned and the details about these russian ads and that hearing yesterday, striking, when we learned 150 million
people may have been exposed to those russian linked ads through facebook and instagram. i mean that is just shocking and we heard senator franken there and other lawmakers were really pressing on these social media companies about how they let this or how they -- how this could happen. >> yeah. the numbers keep growing as facebook comes to grips with what really happened this time last year. you know in the run up to election day, there were so many misleading hoaxes, sensational stories, some of them were printed by americans, written by ordinary americans, but some of them we know were from these russian trolls, both ads and we can show the ads on screen, one about bernie, another with a woman in a casket, divisive messages that were intended to sow discord in many cases they were aligned with now president trump's agenda, meaning hardline message on immigration and other topics and the most important point here is that this stuff is still going on today. >> all right. we're going to go now to capitol hill. you see the speaker of the house
talking to somebody's little baby there, joined by other lawmakers in the room, he will step to the podium and tell us what the plan is for your taxes. let's listen. >> how are you. >> good morning. >> good morning. >> all right. first, i want to thank these families for taking time out of their day to join us. welcome. it is great to have you with us here today. [ applause ] >> fantastic. you are who this is all about. this plan is for the middle-class families in this country who deserve a break. it is for the families who are
out there living paycheck to paycheck who just keep getting squeezed. you know about half the country today is living paycheck to paycheck and a lot more people are about a paycheck away from living paycheck to paycheck in this country and this is going to help give people relief. the tax cut and jobs act will deliver real relief for people in the middle. people who are also striving to get there. with this plan, the typical family of four will save $1,182 a year on their taxes. for many families, having an additional $1,182 more will make a real difference. that $1,182 more covers about a year's worth of gas for your car, covers your family's phone bill for the year, depending on how much data, of course, your kids use. that $1,182 more, it can help you pay down your debt faster, help you start and renovate your home faster. that $1,182 more for the average
family, that will help you put more money away for college, save for retirement, it will help you save for a rainy day. with this plan, we are getting rid of loopholes for special interests and we are leveling the playing field. we're making things so simple, we're making things so simple you can do your taxes on a form the size of a postcard. with this plan, we are making pro-growth reforms so that, yes, america can compete with the rest of the world. but we're also making it so that families like these that are here, can have more take home pay. this is it. this is a very important and special moment for our country for all americans. are we going to let the defenders of the status quo win and see our country continue down this downward spiral, or are we going to realize the promise of our country? are we going to revitalize the american idea? this is our chance to make sure that generations to come don't just get by, they get ahead in
this country. let me turn this over to the person who has led this effort. i am so proud of this man and this committee in this room, i want to turn it over to what chairman of the ways and means committee and thank all of the members of the ways and means committee for bringing us to where we are, for getting us to this point and ladies and gentlemen the leader of this moment kevin brady, chairman of the ways and means committee. [ applause ] >> thank you, mr. speaker. thank you, the american families standing with us today, and thank you as well the ways and means committee members who have been listening and traveling across this country for this historic day. this is an exciting day and i can -- think we all feel the excitement here in this room and here in this country. i know the american people have got to be excited as well. real relief from today's complex, costly and unfair tax
code is on the way. with this bill, there's relief for real american families. there's relief for american workers and there's tax relief for hard-working job creators of all sizes. and with this bill we will grow our economy by delivering more jobs, fair taxes and bigger paychecks to americans of all walks of life. that's especially true for low and middle income americans who are just sick of today's broken tax code, its impact on their jobs, their lives and their paychecks. under the tax cuts and jobs act that's going to change, and it's going to change right now. for a middle income family of four making $59,000 a year, as the speaker said, this bill delivers tax cut of nearly $1200. for that main street business making $62,000 a year, working day and night and weekends, that tax cut of over $3,000 for that
main street business. that's your money. you earned it. you deserve to keep it. and you should be able to use it for whatever you want. that's exactly what this bill will do and that's why the tax cut and jobs act has president trump's full support. this is it, america. this is our opportunity to make tax reform a reality and deliver the most transformational tax cuts in a generation. so let's not let washington special interests, the tv pundits or the pes sa miss fool you. none of them thought we would even get this far with tax reform and they're wrong. now working together with president trump, our colleagues in the house and senate, and you, the american people, we're going to prove them wrong once and for all by getting pro-growth tax reform to the president's desk this year. thank you. [ applause ]
>> all right. thank you, chairman brady, for your tremendous leadership, all the members of the ways and means committee. the speaker said that this is a special moment. we are going to make our economy boom for the average family of four, that median income earner in america, making $59,000, we're talking about $1182 in your pocket. you think about the holidays right around the corner, what that means in your life. you know, as i travel around eastern washington and visit towns and communities and just recently i was down in north carolina and in michigan, you think about $1182 for someone who's living paycheck to paycheck, someone in kettle fall, that's making a big difference. or families like de cooks from sterling heights, michigan, maybe they can put a little more money towards their mortgage or victor a restaurant owner in michigan and he says, quote, we
pay our taxes first, we pay our people second, we pay our bills third, and then if anything is left over we get paid. our plan is going to help people like victor. our plan also means more peace of mind. to spend more time with your kids or maybe your ageing parents or maybe just hang out with your friends. our plan is pro-family and it's pro-economic growth because we value hard work and family. so if we're going to have a tax code that puts families first we also need to recognize that today's working american family has really changed since our tax code was last reformed. with that, comes big change for the realities that our families face every day. for one, women today are making history in the work force. two out of three businesses are being started by women. this means a lot of things. it includes an increase of working moms, like some that are
represented here today. we, too, are the faces of tax reform. that's why i'm pleased that our plan includes an expansion of the child tax credit, a family credit. it's going to help families have more money in their pocketbooks. pro-family, pro-growth, that's what this plan is all about. it's so that you can plan for your future, realize your fullest potential, and empower american families to start dreaming again. and to see how tax reform text to 50589. >> this is an important day and i hope you understand the significance of it. for every member this could really become the most significant bill they ever make a decision in their term in congress. more than three decades for the last time we had tax reform this size. the american public has been asking for it. i think it's a little ironic
that today is the seventh anniversary of republicans being elected to the majority in the house and then moving to the senate, and now we have a president who has pushed to make sure hard-working americans get to keep more of what they earn. three major points i want to make. when i was 20 years old i started my first small business. small business creates more jobs than any other thing in america. in this bill, they'll get lower taxes, go to 25%, the lowest it's been in 40 years. more small businesses, more jobs. second, every single american is going to keep more of what they earn. the single american when you talk about a standard deduction, instead of the first $6,000 you earn tax-free, it's 12. for these families and couples
the first $24,000 you earn it's free, you keep it and determine what's best. we're going to bring the money that's sitting overseas back to invest in american businesses. even before this bill goes into effect, i believe you're going to hear from businesses saying they want to come back to america. the cornerstone of what ways and means, of what president trump has worked so hard about, at the end of the day, is that middle-class family able to get more. as you heard from every other speaker up here, almost $1200 in your pocket. that's the difference. this is about tax cuts, this is about america first and this is about the future. not only will america grow we'll show the rest of the world how to lead and i want to introduce one of the individuals who got elected seven years ago, who
became a leader on ways and means and shown the direction of so much in this bill. >> thank you, mr. leader. some time ago i was grocery shopping about 11:00 at night in south dakota and a woman came down the aisle towards me and she had her hand full of coupons and her cart full of generic food and she said, cyst ti, when is going to get better. health care costs have gone up, electricity has gone up, i had to carpool into town to go to work and waiting for my friend to give me a ride home, i missed my son's basketball game and daughter's doctor's appointment. today this bill, i know, is going to bring relief to her and help things get better. she was in the forefront of my mind while working on the details of this package. the lower rates for everybody, the simplicity, the mortgage interest rate deduction, the family tax credit. i hope you understand how much it's been expanded to not just take into account a child tax
credit but add benefits for elderly dependents in the home, children living in the home going to college and really provide relief for those families that are struggling and then also starting january their pay "charl paychecks will be bigger. i became passionate about tax reform years ago. and it was because when i was going to college, my dad was killed in an accident on our family farm. he was 49 years old. he was my hero and my entire life all i had wanted to do was grow up and farm with him. when he was killed, about a month later, we got a bill in the mail from the irs that said we owed death taxes. we had land, we had cattle, we had machinery, but we didn't have any money in the bank. i could not believe that the federal government would come to a family that had already paid taxes on all that income and say because you had a tragedy, now you have to pay again. we took out a loan, but it took us ten years to pay off that loan. it was very difficult for us to keep our family operation.
if we had a gas station or a grocery store the only option that would have been available to us with who have been to sell that family business to pay those taxes. so i ran for the state legislature, i ran for congress on a lot of issues, but repealing the death tax is incredibly important to me. because it's the most unfair tax in our tax code. it's a double tax and if we're going to really get back to a tax code that helps people and doesn't harm them, that's fair, that doesn't have special provisions or penalties, by us picking winners and losers we have to repeal the death tax. i'm excited about the provisions in this bill and what it does for people in all walks of life, but its focus on bringing relief to low and middle income individuals and focusing on interest deductibility for farms and ranches across the state and owe provisions that will allow them to expense and bring down their rates while being successful in helping our economy grow again. this is a unique opportunity for me, unique opportunity for you,
and it's a wonderful opportunity for our country and i'm thrilled to be a part of it. >> this is an exciting day for american families who are tired of paying too much in taxes, who are fed up with the tax code that's so complicated that if you call ten different irs agents you're going to get ten different answers. people who are fed up with an economy that's not growing, where they see their wages stagnant, and the good news is, that changes today with this tax cut plan that finally puts money back in the pockets of working families. if you look at what was done here, chairman brady and his committee at ways and means have worked incredibly hard to make sure that hard-working families will get more of their paychecks, they will be able to keep more money. you will see wages grow by getting our economy back on track. look, every time i see a company moving jobs overseas, it makes
me angry. now we can be angry, we can be mad, but today we do something about it. by changing the tax code we actually bring those jobs back to america. you're going to see tens of thousands of high-paying jobs come back to america because right now america's dead last in the industrialized world because we have the highest tax rate. that needs to change. let's make america competitive again. that's what our bill does. by making america competitive again we have an opportunity to rebuild the middle class, to bring good jobs back to america and to grow our economy. and just like these families behind me, they want to see more money in their pockets. they deserve to have more shots at the american dream. you're going to see more people have real opportunity and have a real chance to get their piece of the american dream by having more money in their pockets and by seeing things like the death tax eliminated just like kristi talked about. this is an exciting day not only
because we're standing here today as republicans in the house moving forward, but president trump is standing with us. president trump campaigned on doing this exact same thing, of putting money back in the pockets of hard-working families and make sure we can rebuild our middle class and get our economy back on track. it's exciting to be working with president trump to do something that's truly going to grow our economy, and give more people a chance to have their piece of the american dream. now i would like to turn it over to peter who has been a leader on the ways and means committee and helping make sure we can simplify the tax code so much you can actually fill out over 90% of americans will be able to fill out their taxes on a postcard. that's what simplicity means. not only having more money in your pocket but being able to do this. peter. >> i'll leave that there for you. >> thank you, mr. whip. you notice that the children
were becoming impatient with tax reform. she's saying get me this action right now. look what we're going after is, we're directly attacking the status quo. the status quo of the tax code, the status quo of the internal revenue code is the problem. it's the few that benefit under the status quo. and as everybody else that basically feels crushed by this, and overwhelmed by this, and we act as if historically this is a natural disaster that we can't do anything about, it's not a natural disaster. the internal revenue code is a statute. it was created by congress, and it can be changed by congress. what you sense right now, the optimism here on this podium, the sense of forward looking across the american public, people are longing for something that gives them relief. they're longing for something that will bring back sort of competitive nature.
look, there's two views of the economy that are competing for the affections of the american people right now. one view is wrong. it's the zero sum game view of the economy. it says if somebody is successful that comes at someone else's demise. we reject that wholeheartedly. the other view says no, when people are successful it ennurs a benefit to everybody. we're sensitive to making sure everyone can participate and that at its structure these changes that we're proposing, are transformational for everyone. so i think what we need to do now is to be diligent, to be convincing, to be invitational, and recognize that opportunities like this are few and far between. and so i want to thank our speaker and our leadership team and chairman brady especially for being tenacious and being willing to listen to changes and hear criticisms and critiques but ultimately to be incredibly
disciplined and persevering to make sure that we have the opportunity to determine our future. >> first i'm going to say these kids are behaving better than my kids do at church. fantastic job, guys. any questions. kevin, come up here. yeah. >> [ inaudible ] like you guys worked hard last night to make sure you committed the corporate rate deductions while parts are of the individual on family credit are temporary. how do you square this. >> we are focused on increasing paychecks in a major way and the families that struggle the most have seen their paychecks leave for other countries. we drove toward a 20% rate so our local businesses can compete and win anywhere in the world. especially here at home. so they can compete and create jobs, against china, europe,
canada, and mexico, create jobs here in america as well. it was critically important the rest of the world understand. we're not going to be doors mat any longer and stand still for 30 years as they lead us in the dust. we're going to compete and win and middle-class families are going to grow. permanence for businesses, permanence for families matter. we did create in the new family credit which i think you ought to take a close look at, look at our neighbors, not only getting more helpp with their child, getting more help for themselves, and that college kid, i've got one at home, you know, or that parent coming back be to live in the most important thing about that family credit, it doubles the amount of americans who can finally get help with their kids. this is a family-friendly tax code. and so i am very excited about
what this brings middle-class americans and i think permanence and certainty drives that growth. >> thanks, mr. speaker. you talked about the political will for republicans to compromise among themselves as this moves forward. you saw with the health care bill even though you did ultimately pass that, was messier and secondly, for years, you and other republicans have argued that all americans that pay taxes and work should get a tax cut, but with some of the elements of this bill, and where your rhetorical focus is on people in a certain position on the income scale, and it's steered away from the argument you have with democrats over the past to 20 years, certainly under obama. can you talk about that. >> the political will is strong and you can see it right here. we have not reformed the tax code since 1986. the world is passing this country by and we're losing jobs and companies as a result of it. so the political will among the members here in the house as
shown by the members of the ways and means committee is iron clad to get this done because if we don't do this, we will not get the kind of economic potential that we know we can reach. and the fact that people are living paycheck to paycheck in nis country about half of the people living that need a break. the focus is on middle-class tax relief and directing that to the people in the middle and trying to get there and we put our emphasis on that tax relief for those people who are in the middle who are working paycheck to paycheck striving to get ahead and what kevin just said, we've got to modernize our tax code to be competitive again to keep jobs in this country, so we can keep businesses in this country. we have seen a flurry of u.s. companies moving overseas and becoming foreign companies. that will only increase if we stay at the back of the pack. that is why we have to work quickly to fix our tax system, clean it up, level the playing field, make it more fair so we can get bigger paychecks more jobs and keep businesses in america and get businesses coming back home.
the only country that says to a business if you make money overseas keep >> this levels the playing field and gets that money back to our country to invest in our jobs here. that's going to help competit e competitiveness and republicans are committed to doing this. >> the bush tax cuts did not result in growth or higher wages or more jobs. why are you concern this will? >> first can i comment, did the speaker sound like a former chairman of the ways and means committee? i'm pretty sure. he was getting tough. so the question is what? >> our last experiment with the bush tax cuts didn't lead to growth or higher wages or more jobs. in fact, quite the opposite. >> this is a complete redesign of the code. we can simplify it so much that
nine out of 10 americans can file using a postcard style system, lowering the rates. protecting more of the dollars you earn and making sure we have strong middle class relief. it's more than that. we are not just putting higher octane fuel in a clunker of a tax car. we proposed to drive a newer tax car that can compete and win against any country in the world. that redesign for simplicity and fairness and competitiveness i predict under this tax reform plan, america will vault from 31st in the world among competitors to the top three as the best places on the planet for that next new job or manufacturing plant and that next research headquarters. that's what is different. >> if republicans can't get this done, do you deserve to control
the terms? >> what's your second question? we are going to get this done because the american people are counting on us. we told them this is what we are going to do if we get the majority and we are doing it. thank you, everybody. appreciate it. >> there you have it. that's the gop tax reform plan. they are naming it the tax cuts and jobs act. coanchor of early start. christine roman and economics analyst under president clinton. robert reisch and former trump economic adviser steven moore. christine, first to you. what are the big takeaways? >> taxes are about what you think you will pay. let me give you the takeaways. there are a bunch of tax brackets. this will simplify it to
shrinking it down. these are the levels we know of what you would pay, keeping a 39.6% tax bracket for couples who make a half million. that's important because that was going to go away and seen as giving a gift to the rich and more tax relief for companies than the middle class. they changed that there. it doubles the standard deduction to $12,000. for the first $12,000 of income for everybody is tax-free. what it means is no change to your 401(k). this was wildly negotiated over the past few weeks. the child tax credit is $1600. the mortgage interest is capped at $500,000 for new mortgages. $500,000 loan. one of the buildings why you see the home builder stocks, the property tax is capped at $10,000. no more writing off state and local income taxes. that's going to be a hard sell
in new york and new jersey and the high tax states. that repeals the amt and keeps the estate tax for six years and gets rid of it. that helps higher earners. they will double it to like $10 million. not a lot of small family businesses fall under this. that will be middle class advocates say that's not fair. >> we look at her from ryan and many of the others on that house ways and means committee. $1182 more per year is what they say the average family will be keeping in their pocket or maybe getting in some form from a pay cut or pay raise. do you see any losers in this. they are billing it as a win-win for everybody. >> the big winners are companies. they will have their corporate tax rate cut to 20%.
that's the central part of this. they are selling it as middle class tax reform, but the company tax reform is what they are selling. the philosophy and you can debate this, if you cut the taxes for companies, that will create jobs and add wages for american workers. when you look at this for the big high tax states like new jersey and california and i don't know if getting rid of this will cancel out what they lose from the state and local deductions. that's something that gop congress people are really going to fight. >> any surprises? >> christine, i think it's a great job of explaining this bill. well done. you are right, christine. the real centerpiece of this, i work with donald trump 18 months ago when this plan was originally hatched. it really is about primarily in terms of economic impact trying to bring jobs and businesses ask capital back to the united states instead of outsourcing
jobs. we will insource them. this will be a big start of that. an interesting dynamic over the last few months, would this be tax reform or a tax cut? what they came out with is more about the tax cut version. my only complaint, i wish they had taken on more of the special interest groups that trump promised to drain the swamp. get rid of more and more deductions that are taken by special interest groups because most americans think the system is rigged for the wealthy and powerful lobbyists behind them. that's my big complaint. i wish more of the loopholes were gotten rid of. i like capping the mortgage deduction at $500,000. that affects the millionaires and billionaires. i would think that would be something you like. >> i agree on a couple of things. i do think that the capping of the mortgage interest deduction
is a good idea. i am disa pointed there not more loophole closers. given all the concerns about draping the swamp and all of the lobbyists that there would be a little bit more at least for the crowds and the public, more sense that they were being closed. i think the biggest problem here will be the state and local closing of that deduction. you can call it a loophole, but there are a huge number of people that depend on that in california and new york and mostly democratic states. there are a lot of republican representatives from the states who will be very, very upset about that and they can no longer deduct state and local taxes. this is mostly a big corporate tax cut. let's not lose sight of that. there is no such thing as a free lunch. the real question is where are you going to get all the money to pay for this? how much of the deficit is going to have to increase and how much
of the national debt is going to increase? it's all right $20 trillion. i think the republicans who for years have been worried about deficits and debts and crowding out of public debt crowding out private investment will have a lot of explaining to do. >> how do you pay for this? >> agains, the hope is this will help grow the economy faster. if you got one statistic we use, if we can get the economy growing 1 percentage point faster and it's already growing at 3% under trump, if we can keep the high growth rate, you are talking about $2-3 trillion and more businesses located here and not in ireland or china. >> that sounds good, but that didn't work when it has been tried. >> we did pretty well in the 80s. we doubled the income. robert rice and i agree.
if you want to get the rates lower, get rid of the loopholes in the tax system. put a cap on it so the really rich don't get a lot of those loopholes, but on the corporate side, by the way, we get rid of a lot of the loopholes. some have to pay a higher tax and others pay low. everybody will be at 20%. that's fair to me. >> i will let you have the last word. >> you didn't answer the question. it's an important question about deficit and debts. growth has not been the answer with regard to tax cuts. we saw in the mush tax cuts and we ended up at the end of the bush economic crisis. the issue of debt and how much of this is going to be just pumping up the national debt and the national yearly deficits is a big issue. it does have to be addressed.
>> we have to leave it there, guys. we will have plenty of time to debate this in the weeks ahead. we know the thanksgiving deadline is the next one that they have their sights set on. thank you very much both of you and thank you all at home for joining us. inside topolitics with john kin starts now. >> thank you and welcome to inside politics. i'm john king. a big breaking news day. more russia meddling fallout. the nominee for the top agriculture post is withdrawing. sam clovis was the supervisor for the former adviser who wanted to set up campaign meetings with russians and now cooperating with the special counsel. the president has big economic news on two fronts. the job announcement that the white house moments from now and later today his choice to lead the federal reserve. we begin with a policy and political