As the U.S. Senate moves forward with the major tax cut bill, a lot of people are asking, 'what's in it for me,' News Radio 1200 WOAI reports.
Scott McMillian, who is the chairman of San Antonio's Sendero Wealth Management, says more than you think.
He says there is no doubt that the proposals included in the bill as it is being debated today in the Senate would benefit public corporations. He says it would incentive the companies to return cash to the U.S. which is now parked in foreign investments, largely due to more favorable tax policies.
He says the provisions allowing for more immediate and complete tax crediting for expanding investment would also make U.S. corporations more competitive globally, and that would of itself increase the ability of these major employers to hire American workers.
But McMillian says the benefits to individual are greater than that.
He says most American private sector workers today have access to a defined investment retirement plan, like a 401(k). He says that makes you an investor, and makes your financial future more dependent on the performance of those public companies.
"People have so much of their dollars invested in their retirement plans, and as such are stock owners," he said. "There really is a benefit to each person."McMillan bristles at claims by Democrats that the benefits for corporations are in fact 'tax cuts for the rich.' While he says every taxpayer would benefit at tax time from many of the provisions, the real benefit comes in enabling public corporations to prosper, which in tern means a strong stock market.
"Companies could use a little tax relief to make them more competitive, and that will benefit people who own stocks."
What if the tax bill should fail? The stock market is opening Thursday at a record high, close to 24,000, with much of that gain over the past year, which has largely been driven by the promise of tax cuts, giving consumers more cash to spend, and making corporations more competitive.
McMillian says the death of the tax bill may lead to a correction, but he says after this year's strong gains, that is not necessarily a bad thing."This could offer the opportunity for relief from the standpoint of the market does decline a little bit which, frankly, is healthy."