The Biden Plan: Tax Hikes for the Middle Class, Tax Cuts for Wealthy Democrats

Joe Biden and Kamala Harris’ “Build Back Better” tax-and-spend package would raise taxes on up to 30% of middle class families, according to a new report from the Tax Policy Center. This revelation contradicts Biden’s promise on the campaign trail to not raise taxes on anyone making less than $400,000 a year.

Tax Policy Center: “Taking into account all major tax provisions, roughly 20 percent to 30 percent of middle-income households would pay more in taxes in 2022.”

According to the report, low and middle income households are likely to pay up to $100 more on average while those making between $200,000-$500,000 would pay about $230 more. The report also noted that the tax burden on the middle class is expected to increase over time.

New York Post: “In 2023, the proposed expansions of the Child Tax Credit payments would end and the corporate minimum tax on book income, which is one of the largest proposed tax hikes in the bill.

“The Tax Policy Center said this will hit families indirectly by limiting companies’ return to shareholders, which include workers and those investing for retirement.”

If the middle class doesn’t reap the benefits of Joe Biden’s “Build Back Better” plan, who does? Answer: Wealthy Democrat donors.

A central piece of the plan is increasing the SALT deduction cap to $80,000. The majority of those benefits would go to wealthy households in high-tax states such as New York and California while providing “almost no benefit” to the middle class.

Tax Policy Center: “Despite what its promoters say, raising the cap to $80,000 would provide almost no benefit for middle-income households. It would reduce their 2021 taxes by an average of only $20. Even those making between $175,00 and $250,000 would get a tax cut of just over $400 or about 0.2 percent of after-tax income. By contrast, the higher SALT cap would boost after-tax incomes by 1.2 percent for those making between about $370,000 and $870,000 (the 95th to 99th percentile).”

Whitney Robertson, America Rising PAC Press Secretary: “Joe Biden and Kamala Harris’ ‘Build Back Better’ plan would exacerbate the economic hardship millions of people are enduring across the country. Their multi-trillion tax-and-spend spree lines the coffers of wealthy Democrat donors while forcing hard-working Americans to foot the bill.”