“You don’t rebuild a heathy economy by punishing those who invest in that local and U.S. economy,” warned Ways and Means Republican Leader Kevin Brady (R-TX) in a conversation with Maria Bartiromo about President Biden’s capital gains tax hike. “American workers are the net loser in President Biden’s capital gains proposal.”

On Fox Business, Rep. Brady said, “In some states, capital gains will be above 50 percent, so in effect the government has a greater claim over your investments than you do. That is exactly the definition of socialism.”

WATCH: Rep. Kevin Brady on the Dangers of Democrats’ Tax Hikes and the Loss of American Jobs

KEY TAKEAWAYS 

• President Biden is seeking to double the capital gains tax rate, which will lead to lower wages for American workers and tank their retirement plans.
• Unlike Republican tax reform, which raised workers’ wages and brought investment, this tax hike will reverse those achievements and punish Americans who invest in their local economies.
• The Wall Street Journal editorial board calls President Biden’s capital gains tax hike the “The Dumbest Tax Increase”, because it will both reduce wage growth and government revenue. 
• Former Federal Reserve governor and economist Lawrence Lindsey echoes this sentiment, arguing that the capital gains tax hike will leave everyone worse off.

READ: Another Economic Blunder: Capital Gains Tax Hike Harms Workers’ Retirement Plans, Investment