Uh, Gary Cohn (who is worth several hundred million dollars) thinks it costs $1000 to buy a new car (or renovate your kitchen) pic.twitter.com/6IwRDgGSCN— Judd Legum (@JuddLegum) September 28, 2017
President Donald Trump unveiled the biggest U.S. tax overhaul in three decades, calling for tax cuts for most Americans. However, critics fear that the plan favors business and the rich and could add trillions of dollars to the deficit.
Trump’s chief economic adviser, Gary Cohn, appeared at a White House press briefing and tried to defend the plan. Apparently, he was completely clueless about how much a typical American family makes annually.
During the briefing, Cohn said an average American family that has two children and brings in $100,000 would save $1,000 under the GOP proposed tax plan. However, numbers from the Bureau of Labor Statistics show otherwise.
According to the bureau, an average American family makes $74,000 a year before taxes — which is almost half of what Cohn predicted.
Not only that, Cohn went ahead and advised people what the family can do with that annual tax saving. He said they could use it to pay for a new car or a kitchen.
“If we allow a family to keep another thousand dollars of their income, what does that mean? They can renovate their kitchen. They can buy a new car. They can take a family vacation. They can increase their lifestyle,” he said.
This absurd comment by Cohn came as he tried to doge a question from a reporter who asked him how the proposed tax plan would affect Trump and whether it would benefit him or not.
However, being a loyal member of the Trump administration, Cohn did what members of the cabinet are best at doing.
He completely overturned the question and said, “I think what the American people are concerned about is their financial position. I think what they’re concerned about is when they go to work every week and they get their paycheck at the end of the week, how much do they get to keep? How much goes in their pocket versus how much goes to the government?”
He further said, “Our tax plan is aimed to return more income back to hard-working Americans.”
In another interview, Cohn said he “can’t guarantee” that taxes won’t go up for middle-class Americans under the proposed plan.
“There's an exception to every rule. I can't guarantee anything. You can always find a unique family somewhere,” Cohn said.
As Trump announced his proposal for a tax overhaul, he said it wouldn’t benefit him at all.
“Our framework includes our explicit commitment that tax reform will protect low-income and middle-income households. Not the wealthy and well-connected. They can call me all they want; I’m doing the right thing. And it’s not good for me, believe me,” he said.
However, estimates don’t back Trump’s comments.
Trump is the first president in 40 years who has not publicly released his tax returns. This makes it difficult to calculate how much exactly he will benefit from the proposed plan, however, certain provisions in the plan show that he will surely benefit largely from it.
Banner/Thumbnail: Reuters, Yuri Gripas