HARRISBURG (TNS) — President Donald Trump has proposed getting rid of the federal income tax.
Should that happen, people’s paychecks in Pennsylvania — and beyond — would look quite different.
According to CNBC, sources close to the matter informed the news station that Trump threw out the idea of abolishing the federal income tax and replacing it with an “all tariff policy.”
A GoBankingRates.com report found that — should that idea come to fruition — the average bi-weekly check for people in Pennsylvania would hit $2,285. The amount currently stands at $1,773 with all taxes included, meaning the lack of a federal income tax might increase paychecks overall.
The Tax Foundation details Trump’s very outward support of implementing tariffs: His latest move on the matter came on Monday when he suggested a roughly 25 percent tariff on auto imports.
NPR adds how some experts believe these tariffs — along with the others proposed on other items such as Chinese goods — will “sting” the American consumer. The Tax Foundation explains how the tariff on China alone will increase each U.S. household’s tax burden by about $172.
“So iPhones, iPads, tablets, laptops — all of that from Apple would now be hit, which is kind of a big escalation compared to how consumer goods were shielded from most of the first trade war tariffs,” told Erica York, vice presidents of federal tax policy at the foundation, to the publication.
Further information on these tariffs — as well as the possible dropping of the federal income tax — remains pending.
