During the run-up to the November election, mainstream media largely ensured that voters believed that then-presidential candidate Joe Biden would not raise taxes on middle-income Americans. Period.
“Nobody making under 400,000 bucks would have their taxes raised, period, bingo,” the Washington Post quoted Biden as saying in August 2020 as he debated Trump on tax policy.
It was a Biden claim the Post rated as “accurate.”
However, now that Biden is president and his tax plans are being contemplated as a matter of policy, it seems that the middle class (and the poor) will be hit with a tax increase after all.
And the question was never in doubt.
“A top White House economist made clear on Monday that Biden doesn’t want to impose costs on anyone earning less than $400,000 per year,” Michael Strain, an economist at the American Enterprise Institute, wrote this week before revealing the big “but.”
“At the same time, the White House is likely to push for a higher corporate tax rate,” Strain said. “These goals are incompatible. If the corporate rate goes up, it will reduce the incomes of the middle class.”
The Tax Policy Center, a joint venture between the Urban Institute and the Brookings Intuition – both left-leaning think tanks – found as early as March of 2020 that Biden’s tax policy would, in fact, raise taxes on all Americans.
“In 2021, the proposals would increase taxes on average on all income groups, but the highest-income household would see substantially larger increases, both in dollar amounts and as a share of their incomes,” ” the TPC reported.
All income groups on average means that even working- and middle-class Americans will feel a tax increase.
The TPC economists said that 20 percent of any corporate tax increase under Biden’s plan would be absorbed by workers, while the Congressional Budget Office claims that corporate tax increases under Biden would hit workers 25 percent harder, at about 25 percent of their income.
As Howard Gleckman at TPC explains it: “[T]hose low- and middle-income households would not be writing bigger checks to the IRS. Rather, their incomes would be cut through lower wages or smaller returns to their investments.”
While the think tanks say that for lower-income and middle-income households the hit will only average $30 to $260 tax increases this year, it misses the point that not all of the households will feel the tax increases equally.
Some working families will have no tax increase, others with face a 100 percent tax increase in the loss of jobs.
The Tax Foundation says that 159,000 jobs would be eliminated to corporate taxes under Biden’s plan.
That means that 159,000 working-class Americans will be taxed $3.36 billion dollars at an average wage of $40,000 in 2021.
That equals a 100 percent tax increase on some working families. And no job.
© Copyright © 2021, Accuracy in Media
—-
This content is published through a licensing agreement with Acquire Media using its NewsEdge technology.
Raise corporate taxes, raises go down for the middle class and the poor. Jobs get sent to Countries with lower tax rates or to Countries with slave labor.
ADD to that, all those jobs now that will go to illegal invaders, OVER US Citizens..
Liberals, Democrats, whatever, have never ever really figured out how taxes work in the real world, except for JFK! True, they may not directly raise taxes on working people but corporate taxes always end up being paid by consumers of the goods or services supplied because companies just pass the increase along as a cost of doing business. As noted, this would be on top of the internal ‘sacrifices’ made the employees. Why doesn’t it sink in that lowering tax rates increases tax paid into the Treasury, ie, people paying less tax spend more money, companies make higher profits thereby paying more taxes without a rate hike. The problem isn’t what the government collects, it’s how thay blow it on nonessential spending for pet projects and the like for the benefit of the very few, Pelosi’s tunnel, a congress member’s bridge, hotels rooms for illegals that most citizens can’t afford!
I think they DO KNOW how taxes really work, they just DO NOT CARE…
Any one with half a brain could have told you that. Time for inflation.
We will be taxed back into hardship to compliment the government lies
and fraud concerning the Chinese Virus. All improvements in our lives
brought out by the Trump Presidency is being reversed and harsher
times for us as punishment for wanting a government of the people(citizens)
by the people and for the people (by communist subversives), oh joy!
William
Just like Venezuella.
Any time Washington passes a “soak the rich” tax plan it is normally the middle class that gets soaked.
Higher taxes on “rich” people and especially on “rich” corporations will certainly be passed onto the goods and services that the “rich” produce. This is simple, inevitable, cause and effect. Thus YOU will pay the higher taxes every time that you buy a product or a service.
“Higher taxes always, always means less money in YOUR pocket.”
But wait, there is more. Biden and his fellow socialists are considering taxing long-term capital gains. This means that any time your investments increase in value, the government would punish you for supporting free enterprise and saving for your retirement (or to pass along to your kids) by imposing a tax. These taxes would have the natural effect of decreasing the profitability of your investments and of the companies to whom you have effectively loaned money for operating expenses.
One of the goals of socialism is to enslave you to the evil plans of the ruling class who have bought off government officials with “campaign contributions” and other “gifts.”
Somebody please get this Pedo looser Joe Biden and all the rest of these traitors out of the White House !!!!!!!!!!!!
We’d all love to.. BUT other than millions of us rising up, to OUST them (Coup like), i just can’t see it happening.
I am not paying taxes anymore , end of story bye bye !