Larry Kudlow (CNBC, Fed Estate Tax)


Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

I save all the tough questions for Larry Kudlow he joins us every Friday from CNBC. He's here right now Larry welcome to the show how are you today. Yeah yeah. Larry I wanted to ask you about the estate tax and and I don't mean to put in and operates a position but. I'm gonna do it anyway if you had to choose. Leaving the estate tax where it is now five and a half million bucks per person. And get a little bit lower corporate tax rate to percent lower corporate tax rate would you be willing to play that card. Hole I don't know you know. I know I told goes save in the top ones for you. Yeah I mean look. There. They're completely different issues. And out well that's gotten tight ship because. They're both programs and they're both pro well and they're both pro investment boom I guess and apprehension Goodling to do. I think you're gone and tried that I'm absolutely got to physically present a corporate tax. But I picked Friday. I don't really real linkage. Between the paper that. What has okay what will will not yet. All right what do you had to trade it for bigger child tax credit what I'm trying to get here Larry is. Weird we get our biggest bang for the buck in terms of the economy. They give you eat Ibaka trump wants to increase the child tax credit night I think a lot of people are behind that. So what if you said okay we're we're gonna we're not getting repeal the estate tax you have about 5000 families by the state tax returns year rates it's not. A big winner. So what if he gave that out is you know of the votes anyway you in the senate you know you can get the votes to to repeal the estate tax so why not. Right I might. Susan Collins John McCain and prevent it from South Dakota. John McCain by the way does not like the state. Yeah just one note that how you vote in a different matter but I know shot paid these states expert gone as breast. Well what again economic benefit the east can't do everything in you know you've been in these meetings you can't get everything you want. You keep the estate tax that you get a really nice package. And on the child tax credit for working families. Well look again those are two entirely different things really. You know the state taxes the better investment wealth creation of the child tax credit. All of that have already had to be sorted out you know we have child tax credit already. I'm not entirely sure about specific. If rocket. Plant I have not spoken to her in a while. About that. But I would agree. It's that's good deal worked and how it's gonna get worked and I don't know how it's gonna get worked at with respect to. Child tax credits that are already on the books I I don't know. But I think what is it if the bulk of the growth of incentives. The bulk of the investment incentives. Is common from the business side. That's just been established that probably. 85%. Of the gross impact and that includes investment that includes productivity. That includes middle class wage earners. That's all comment from the business. Now. If you want to I think what they're gonna do. Is probably. Raised again the limits of the income limit. On the estate tax and pretty tired already have and yet it is pretty I'd out. There's a good argument that I do have very valid argument. That family farms and family businesses. Could conceivably be heard. I'm not an expert on that but I don't like the state fact you've already paid actresses. On the day yeah pay income taxes you'd Blake capital gains taxes you paid corporate taxes and government. But if you wanna raise the limit. Go ahead Reno where they don't make my day if not the most important thing. India and the issue I do not want to raise the top income tax rate very strongly against that then. Because that's the world creator those people at the top. The most successful earners and investors you know they didn't they provide. Investment. Moral compass. I mean it if you like start a business. You are go person making 30000 dollars a year. Or you gonna go person making a couple of million dollars a year for a million dollars a year. So I want that top rate which is really an investment tax rate I don't want that to go up but likely come down I'm perfectly happy with. With. Whether they got twelve point 530. I mean. I'm not going get my before stripes on what to expect. I've had to do all that stuff. I don't think that's going to be a big sticking point you know I'd just be that is. Kind of small debated in the grand scheme of things. I think that big a bit tough choice that. Well we just lost Larry Kudlow Lee's eat thinks that. The estate tax. Is gonna who stick around. It'll be it's it's gonna be really interesting to see what we ended getting out of this just because we know of the house took the first step towards trying to push forward some kind of tax form couple days ago and they. Pushed through budget outline. But I think the details are still pretty hazy to me just because. I just I look at the numbers and I just don't know who's on board with what given the different factions India within the Republican Party do you think he get tax reform and 2017 that was the other question is gonna ask gunman and the more I hear in the more I read. Is this is a Q1 of the eighteen points I've always thought that February of eighteen sounds about right to me and still sticking with that but we still don't really know what it's gonna look. We don't we don't have a ton of detail when will we get details. December January. I hoped we wouldn't September you know I mean it's if you wanna get it passed by February. You need at least you know the big details out there so you can debated so forth by the end of the year now now the did the big issues are you know you have those three brackets 1225. And 35 but where the income that's the other thing we don't know. You know if that 35 right bracket starts that 150000 of income. That's a bad deal right we still don't know you know if talked about stepping up the the child tax credit we still don't know how much that is going to be. That there's still a lot around the edges child tax credit is a big win. Especially if you make it only for working families right if you don't have earned income he can't get. You give that to people that earned income that's huge city got a 5000 dollar tax credit for every kid. And people I don't know if you do only for people with the earned income. When the further talk about zone are fond of so you lose your job and all of a sudden you're not able take credit. Yeah the effect if he earned income to get the tax good luck.