A new analysis by the Joint Committee on Taxation, Congress’s non-partisan tax scorekeeper, shows the Democrats’ tax bill will hit Americans of all income levels, directly violating President Biden’s pledge to not raise taxes on anyone making less than $400,000 per year.

The analysis shows every income level will see meaningful tax increases, including:

• Nearly five percent of taxpayers earning between $40,000 and $50,000;
• Nine percent of those earning between $50,000 and $75,000;
• 18 percent of those earning between $75,000 and $100,000;
• 35 percent of those earning between $100,000 and $200,000; and
• 59 percent of those earning between $200,000 and $500,000.

As the Senate Finance Committee notes, under the Democrats’ tax bill that was passed out of the Ways and Means Committee…

Over the long term, more than 85 percent of all taxpayers will get no benefit, or will experience a meaningful tax increase.

• In 2023, more than two thirds of all taxpayers will get essentially no benefit from the House Tax Bill or will experience a meaningful tax increase.  By 2027, more than 85 percent of all taxpayers will fall into this category.
• These results apply across the income spectrum, including with respect to nearly 60 percent of those earning between $20,000 and $30,000 and nearly three quarters of all taxpayers earning between $30,000 and $100,000.
• Even those on the very bottom are more likely to get no benefit, with 64 percent of Americans earning less than $10,000 no better off than they currently are.

Middle-class taxpayers will specifically be worse off.

• In 2023, taxpayers of every income level will see meaningful tax increases, including:
  • Nearly five percent of taxpayers earning between $40,000 and $50,000;
  • Nine percent of those earning between $50,000 and $75,000;
  • 18 percent of those earning between $75,000 and $100,000;
  • 35 percent of those earning between $100,000 and $200,000; and
  • 59 percent of those earning between $200,000 and $500,000.
• These results conclusively show that Democrats are willing to violate President Biden’s pledge for tens of millions of hard-working Americans.

Things only get worse for the middle class over time. 

• In 2031, more than 80 percent of taxpayers earning between $20,000 and $500,000 will either see no benefit or will face a tax increase.
• In 2031, more than three quarters of taxpayers earning between $100,000 and $200,000 will face a tax increase.

Additionally, Democrats are seeking a tax shelter for the wealthy that would shield them from these tax increases, according to recent analyses from the Tax Foundation and others.

JCT’s prior analysis found workers will shoulder the burden of the tax hikes and that within 10 years of a corporate tax increase, two thirds of the corporate tax burden would be borne by lower- and middle-income taxpayers.