Dubbed as the most vocal and unorthodox president that the United States of America has had, Donald Trump came to address the congress for his first State of the Union speech on January 30th. Though a lot was expected of President Trump, a major policy shift was not seen. Most part of his speech revolved around what he had achieved in the past year rather than his plans for the coming tenure.
The major decisions he took include the fact that the American detention facility in Guantanamo, Cuba would remain open and not be shut as was widely called for; Trump administration to spend a whopping $1.5 trillion to uplift the country’s crumbling infrastructure by building roads, bridges, highways, railways and waterways; Trump vowed to further boost the country’s nuclear arsenal against what he deemed were imminent threats from some countries, as well as bringing down the costs of drugs and lastly, cutting off aid to ally countries that don’t follow suit with America.
However, there were some important and controversial points that he made, too.
With America already under trillions of dollars of debt, it is unlikely that the Congress would release such a big amount for the uplifting of infrastructure that the president proposed.
Easing a little on his earlier stance on the immigrants’ issue, Trump seemed to cave in to the Democrats’ demand to grant citizenship to illegal immigrants who came to America as children; the initiative vows to cover 1.8 million people.
Trump further talked about uniting the country to achieve greater goals as a team. It would be a herculean task for him to unite the masses under him with the already poles-apart Republicans and Democrats fighting over every little matter, and the criticism that the current President has had to face even from his own party with questions on his mental health as well.
President Donald Trump carried forward the same narrative of America being stronger than before saying, “the state of our union is strong because our people are strong.” He somehow contradicted his own statement later in his speech when he brought to notice the 64000 Americans who, on average, die each year owing to drug overdoses.
Trump also took a jab at Obamacare and took pride in nullifying it and its effects. However, the truth is that the individual penalty for the uninsured still holds for 2018.
The biggest takeaway from Trump’s speech was the tax cuts he mentioned; he claimed to have brought about the biggest tax cuts in the history of America. As it turns out, his tax bill is the eight largest and not the biggest. This bill also comes with a twist. The bill is set to penalize Democratic-leaning states by gutting the federal deduction for state and local taxes with many of the middle-class cuts slated to expire in 2026.
So, for Texas and all the other states, their tax reforms depend on whether the state is inclined towards the Republicans or the Democrats.