Detailed Single Year Tables
Description of Proposed Provision:
F5: Tax Reform for Business: Establish a value added tax (VAT) of 3.0 percent for 2022 and 6.5 percent for 2023 and later. Assume about 75% of personal consumption expenditures is subject to the VAT.
Financial Estimates for the OASDI Trust Fund Program
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
|
Expressed as a percentage of current-law taxable payroll |
Trust fund ratio as of January 1 |
Expressed as a percentage of current-law taxable payroll |
|||||||
|
Calendar year |
Cost rate |
Income rate |
Annual balance |
Cost rate |
Income rate |
Annual balance |
|||
| 2020 | 13.92 | 13.00 | -0.92 | 261 | 0.00 | 0.00 | 0.00 | ||
| 2021 | 14.05 | 12.90 | -1.15 | 248 | 0.00 | 0.00 | 0.00 | ||
| 2022 | 14.25 | 12.47 | -1.78 | 233 | -0.00 | -0.46 | -0.46 | ||
| 2023 | 14.43 | 12.47 | -1.96 | 214 | -0.00 | -0.48 | -0.47 | ||
| 2024 | 14.64 | 12.50 | -2.14 | 194 | -0.00 | -0.48 | -0.47 | ||
| 2025 | 14.87 | 12.52 | -2.34 | 174 | -0.01 | -0.48 | -0.46 | ||
| 2026 | 15.09 | 12.65 | -2.44 | 154 | -0.03 | -0.48 | -0.45 | ||
| 2027 | 15.31 | 12.67 | -2.63 | 134 | -0.04 | -0.48 | -0.44 | ||
| 2028 | 15.53 | 12.71 | -2.81 | 114 | -0.06 | -0.48 | -0.42 | ||
| 2029 | 15.75 | 12.75 | -3.00 | 94 | -0.08 | -0.48 | -0.40 | ||
| 2030 | 15.91 | 12.76 | -3.15 | 74 | -0.11 | -0.48 | -0.37 | ||
| 2031 | 16.05 | 12.77 | -3.28 | 53 | -0.13 | -0.48 | -0.35 | ||
| 2032 | 16.17 | 12.78 | -3.38 | 33 | -0.16 | -0.48 | -0.32 | ||
| 2033 | 16.26 | 12.79 | -3.46 | 13 | -0.20 | -0.49 | -0.29 | ||
| 2034 | 16.32 | 12.80 | -3.53 | ---- | -0.23 | -0.49 | -0.26 | ||
| 2035 | 16.37 | 12.80 | -3.57 | ---- | -0.25 | -0.49 | -0.23 | ||
| 2036 | 16.40 | 12.81 | -3.60 | ---- | -0.28 | -0.49 | -0.21 | ||
| 2037 | 16.43 | 12.81 | -3.62 | ---- | -0.31 | -0.49 | -0.18 | ||
| 2038 | 16.45 | 12.82 | -3.63 | ---- | -0.34 | -0.49 | -0.16 | ||
| 2039 | 16.46 | 12.82 | -3.64 | ---- | -0.36 | -0.49 | -0.13 | ||
| 2040 | 16.46 | 12.82 | -3.64 | ---- | -0.38 | -0.50 | -0.11 | ||
| 2041 | 16.45 | 12.82 | -3.63 | ---- | -0.41 | -0.50 | -0.09 | ||
| 2042 | 16.43 | 12.82 | -3.61 | ---- | -0.43 | -0.50 | -0.07 | ||
| 2043 | 16.40 | 12.82 | -3.58 | ---- | -0.45 | -0.50 | -0.05 | ||
| 2044 | 16.36 | 12.82 | -3.55 | ---- | -0.47 | -0.50 | -0.03 | ||
| 2045 | 16.33 | 12.82 | -3.51 | ---- | -0.49 | -0.50 | -0.02 | ||
| 2046 | 16.30 | 12.82 | -3.48 | ---- | -0.50 | -0.50 | -0.00 | ||
| 2047 | 16.27 | 12.82 | -3.46 | ---- | -0.52 | -0.50 | 0.02 | ||
| 2048 | 16.25 | 12.82 | -3.44 | ---- | -0.54 | -0.51 | 0.03 | ||
| 2049 | 16.23 | 12.82 | -3.42 | ---- | -0.55 | -0.51 | 0.05 | ||
| 2050 | 16.22 | 12.82 | -3.41 | ---- | -0.57 | -0.51 | 0.06 | ||
| 2051 | 16.21 | 12.82 | -3.40 | ---- | -0.58 | -0.51 | 0.07 | ||
| 2052 | 16.22 | 12.82 | -3.40 | ---- | -0.59 | -0.51 | 0.08 | ||
| 2053 | 16.23 | 12.82 | -3.41 | ---- | -0.60 | -0.51 | 0.09 | ||
| 2054 | 16.25 | 12.82 | -3.43 | ---- | -0.61 | -0.51 | 0.10 | ||
| 2055 | 16.28 | 12.82 | -3.45 | ---- | -0.62 | -0.51 | 0.11 | ||
| 2056 | 16.31 | 12.83 | -3.48 | ---- | -0.63 | -0.51 | 0.11 | ||
| 2057 | 16.35 | 12.83 | -3.51 | ---- | -0.63 | -0.51 | 0.12 | ||
| 2058 | 16.39 | 12.84 | -3.56 | ---- | -0.64 | -0.51 | 0.13 | ||
| 2059 | 16.44 | 12.84 | -3.60 | ---- | -0.64 | -0.51 | 0.13 | ||
| 2060 | 16.50 | 12.84 | -3.65 | ---- | -0.65 | -0.51 | 0.13 | ||
| 2061 | 16.55 | 12.85 | -3.70 | ---- | -0.65 | -0.51 | 0.14 | ||
| 2062 | 16.61 | 12.85 | -3.76 | ---- | -0.66 | -0.51 | 0.14 | ||
| 2063 | 16.67 | 12.86 | -3.81 | ---- | -0.66 | -0.51 | 0.15 | ||
| 2064 | 16.73 | 12.86 | -3.87 | ---- | -0.66 | -0.51 | 0.15 | ||
| 2065 | 16.79 | 12.87 | -3.92 | ---- | -0.67 | -0.51 | 0.15 | ||
| 2066 | 16.86 | 12.87 | -3.98 | ---- | -0.67 | -0.51 | 0.15 | ||
| 2067 | 16.92 | 12.88 | -4.05 | ---- | -0.67 | -0.51 | 0.16 | ||
| 2068 | 16.99 | 12.88 | -4.11 | ---- | -0.68 | -0.51 | 0.16 | ||
| 2069 | 17.06 | 12.89 | -4.17 | ---- | -0.68 | -0.51 | 0.16 | ||
| 2070 | 17.12 | 12.89 | -4.23 | ---- | -0.68 | -0.51 | 0.17 | ||
| 2071 | 17.19 | 12.90 | -4.29 | ---- | -0.68 | -0.52 | 0.17 | ||
| 2072 | 17.24 | 12.90 | -4.34 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2073 | 17.30 | 12.90 | -4.39 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2074 | 17.34 | 12.91 | -4.44 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2075 | 17.39 | 12.91 | -4.48 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2076 | 17.42 | 12.91 | -4.51 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2077 | 17.44 | 12.92 | -4.53 | ---- | -0.70 | -0.52 | 0.18 | ||
| 2078 | 17.46 | 12.92 | -4.54 | ---- | -0.70 | -0.52 | 0.18 | ||
| 2079 | 17.45 | 12.92 | -4.54 | ---- | -0.70 | -0.52 | 0.18 | ||
| 2080 | 17.44 | 12.92 | -4.52 | ---- | -0.70 | -0.52 | 0.18 | ||
| 2081 | 17.42 | 12.92 | -4.51 | ---- | -0.70 | -0.52 | 0.18 | ||
| 2082 | 17.40 | 12.92 | -4.48 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2083 | 17.37 | 12.91 | -4.46 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2084 | 17.34 | 12.91 | -4.43 | ---- | -0.69 | -0.52 | 0.18 | ||
| 2085 | 17.31 | 12.91 | -4.40 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2086 | 17.27 | 12.91 | -4.36 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2087 | 17.24 | 12.91 | -4.33 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2088 | 17.21 | 12.90 | -4.30 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2089 | 17.19 | 12.90 | -4.29 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2090 | 17.18 | 12.90 | -4.28 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2091 | 17.18 | 12.90 | -4.28 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2092 | 17.19 | 12.90 | -4.29 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2093 | 17.22 | 12.90 | -4.31 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2094 | 17.25 | 12.91 | -4.34 | ---- | -0.69 | -0.52 | 0.17 | ||
| 2095 | 17.28 | 12.91 | -4.37 | ---- | -0.69 | -0.52 | 0.17 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2020-2094 | 16.58% | 13.36% | -3.23% | 2033 | -0.48% | -0.49% | -0.01% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2035. |
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Based on Intermediate Assumptions of the 2020 Trustees Report.