However, Mr Reagan and Mr Bush cut taxes when America was experiencing economic recessions, and Mr Trump is proposing to reduce taxes during one of the longest economic expansions in USA history. The American middle-class family of four could take advantage of a heftier child tax credit and other deductions but face uncertainty about the rate its household income would be taxed.
"This is a revolutionary change, and the biggest winners will be the everyday American workers as jobs start pouring into our country, as companies start competing for American labor, and as wages start going up", Trump said Wednesday after he announced the plan.
For the majority of American manufacturers that file taxes as sole-proprietors, corporations or partnerships, Trump said his administration will cap their top tax rate at a maximum of 25 per cent.
And many people wouldn't get a tax cut at all.
It's therefore no surprise that Trump's tax plan directs almost all its overall benefits to the wealthy. But since the plan doesn't specify at what income level the top bracket would kick in or what the additional rate would be, it's not possible to calculate how big a tax cut the rich would get here.
If the new lower top rate were to be approved, Trump would see a 4.6 percent tax cut, estimated to be worth $17.48 million, provided that he would consider paying his taxes, that is. It also calls for a new "pass-through" tax rate of 25 percent, which could mean large savings for mom-and-pop businesses.
A comprehensive rewrite of the USA tax code has eluded previous presidents and Congress for decades. But unfortunately, the business tax preferences in Trump's plan are created to provide nearly no benefit to lower- and middle-income people who own small businesses.
Trump's plan falls short of the sweeping, bipartisan package crafted by Reagan and congressional Democrats, analysts said.
Trump wants to sign tax legislation into law by the end of the year. The Committee for a Responsible Federal Budget analysis said Republicans had only identified about $3.6 trillion in offsetting revenues, meaning the cost to the federal deficit could be in the $2.2 trillion range.
There clearly would be seismic changes for businesses large and small, with implications for companies beyond USA borders. Also slated for elimination is the alternative minimum tax, a supplemental tax for certain individuals, corporations and estates that enjoy exemptions that lower their income tax bills.
Republicans proposed eliminating some tax deductions.
Another thing the reform does is gets rid of writing off state and local taxes, which in a high-tax state like NY, could hurt property owners. Under his proposal, mortgage interest and charitable giving would still be deductible.