While Democrats are raising taxes on working families to pay for President Biden’s runaway spending, they are fighting to restore a tax haven for the wealthy in their 2022 budget proposal. This tax carveout appears in the tax hike plan Senator Bernie Sanders (D-VT) championed in a Fox News op-ed decrying wealth inequality.
Middle-class families are already falling behind as prices are rising twice as fast as paychecks. But things will get worse if President Biden and Senator Sanders get their way. The liberal Tax Policy Center admits that the Biden tax hikes would hit 75 percent of middle-class families next year, rising to 95 percent of middle-class families by 2031, and has also criticized restoring the state and local tax deduction (or SALT) for the wealthy as only helping “high-income households.”
Senator Sanders previously said that restoring this tax haven “sends a terrible message,” noting that “you can’t be on the side of the wealthy and powerful if you’re going to really fight for working families.”
The last thing Americans need as we come out of a pandemic is higher taxes to pay for Democrats’ runaway spending.
Democrats want a special tax carveout for the wealthy.
- Democrats are fighting to restore state and local tax (SALT) deductions for the wealthy. The liberal Tax Policy Center has said this benefits “high-income households.”
- Senator Bernie Sanders (D-VT) previously opposed efforts to repeal the SALT cap, saying it “sends a terrible message,” and that “you can’t be on the side of the wealthy and powerful if you’re going to really fight for working families.”
- According to one expert, repealing the SALT cap would widen income inequality.
Even liberals are saying President Biden is raising taxes on the middle class and Main Street.
- Even liberals claim President Biden is violating his pledge by increasing taxes on the middle class, according to an analysis by the Tax Policy Center.
- New analysis from the non-partisan Joint Committee on Taxation shows that of the more than 172 million taxpayers who would bear the burden of the increased corporate tax rate, 98.4 percent, or about 169 million, have incomes well under $500,000.
- 66.3 percent of the corporate tax burden would be borne by lower- and middle-income taxpayers.
- U.S. Chamber of Commerce report found that while the majority of the more than 30 million small businesses in the U.S. are pass-through entities in which tax obligations are passed to the owners, 1.4 million of them are organized as C corporations and thus subject to the corporate tax.