Factchecking the First Presidential Debate
How can both facts be true? The $5 trillion figure comes from the fact that Romney has proposed to cut tax rates by 20 percent and eliminate the estate tax and alternative minimum tax. The nonpartisan Tax Policy Center says that would reduce tax revenue by nearly $500 billion in 2015, or about $5 trillion over 10 years
But Romney also has said he will make his plan “revenue neutral” by eliminating tax loopholes and deductions, although he has not provided the details.
The Tax Policy Center has analyzed the specifics of Romney’s plan thus far released and concluded the numbers aren’t there to make it revenue neutral.
In the debate, Romney countered that “six other studies” have found that not to be the case, but he’s wrong about that. Those studies actually do not provide much evidence that Romney’s proposal—as sketchy as it is—would be revenue neutral without making unrealistic assumptions.
Given the uncertainty, the Obama campaign has assumed the worst about Romney’s plan—that it would mean higher taxes for middle-class Americans—even though, as Romney stated, there is no chance he would try to implement such a plan as president.