If history has taught us anything it is that Democrats and tax increases always go together.
Determined to push through the large and record-breaking $3.5 trillion spending bill that is little more than a liberal grab bag (not to mention the anti-white discrimination buried within such as the recent prevention of white farmers from getting covid-19 relief checks), House Democrats announced their tax hikes this week to justify their massive price tag.
Democrats outlined their taxation proposal, which features top individual and corporate tax rates of 39.6% and 26.5%, respectively, and a 3% surcharge on personal income higher than $5 million and a capital gains tax of 25%, as reported by CNBC.
In effect, the proposal goes toward undoing the Trump tax cuts which were passed in 2017.
The network said it is “not clear how much the tax increases would go up and if the new revenue would offset the complete investment in social programs,” though The Washington Post has said the tax plan “would increase $2.9 trillion in new revenue and taxes predominantly targeted toward wealthy Americans, corporations and investors.”
KEY on corporate rate:
— Looks like Ds want corporate tax rate raised to 26.5% BUT ONLY for firms w/ +$5 million income
— For businesses w/ income under $400K they want to LOWER the rate from 21% to 18%
— Firms w/ $400K-$5M would see rate flat at 21% as current law https://t.co/CITxYNphOo
— Jeff Stein (@JStein_WaPo) September 12, 2021
For what it is worth, there are thousands of small businesses that make more than $5 million per year.
And while the tax package is being called “the highest increase in U.S. history,” Democrat Congressman Richard Neal, Mass., chairman of the House Means Committee, responds that the planned tax increase will “expand opportunity for Americans.”
“On Tuesday, we will go on with our work on the Build Back Better Act with a consideration of investments to give support to families, create clean energy development, reinstate Build America Bonds, and help Americans’ afford health care,” Neal said in a comment.
The bill has to get through the Senate, and Democrat Senator Joe Manchin, W.Va., said recently that he was in not in a hurry to back the bill since “it makes no sense at all.”
“We do not have an urgency. Don’t you believe we ought to discuss it a little more, see what we have there?” Manchin said on “Meet the Press.”
Democrats’ $3.5T budget will result in the highest tax increases in American history.
These tax hikes will impact every American and only further cripple our recovery coming out of the pandemic.
— Ways and Means GOP (@WaysandMeansGOP) September 12, 2021
how is that a tobacco tax doesn't break the no-taxes-on-people-making-under-$400k, but a gas tax does?
are smokers supposed to be richer than people who drive cars https://t.co/TfoBgshqu7
— Catherine Rampell (@crampell) September 12, 2021
President Biden pledged not to raise taxes on families making less than $400,000 per year.
That doesn't seem to matter to Dems on the House @WaysMeansCmte, as they want new taxes on vaping products "equivalent" to those on deadly cigarettes.
This will cause *more* smoking. https://t.co/UWuJYFGOBi
— American Vaping Assn (@AVABoard) September 12, 2021
"The proposal further calls for increasing taxes on 'tobacco and nicotine' by roughly $100 billion, while also raising $16 billion from changing rules to 'treat cryptocurrency the same as other financial instruments.'" https://t.co/Gohw6wdySH
— Jacqueline Alemany (@JaxAlemany) September 13, 2021
Author: Steven Sinclaire