If you do not understand the headline, it is probably because the media has been ignoring PDJT’s giant tax cut for everyday Americans. That would be a tax cut for the middle class and everyone below them.
By Executive Order President Donald Trump signed an executive action to delay the collection of payroll taxes (Social Security and Medicare). He has sought to enact an outright cut throughout the pandemic in an effort to juice worker’s paychecks.
The text of the memorandum says that people earning under $4,000 every two weeks — or under $104,000 yearly — won’t have to pay the tax out of their paychecks from September 1 to December 31.
In other words, all Americans earning less than $104,000 per year now have the same exemption from the payroll tax as people making more than $137,000 per year such as all members of Congress.
Chuck Schumer (D-NY) told reporters that there would likely be litigation against Trump’s executive orders but didn’t specify who the plaintiffs might be. The problem for the Democrats is that they would like to stop the President and keep him from another action that would be seen positively by the American people.
The Democrats want to keep the money flowing in, but they do not want to be seen as blocking help to the common people, especially during a time of need (and during an election year). They would much rather have some anonymous litigant do their dirty work in the courts. In other words, it’s bad optics for the Democrats.
Of course, Joe Biden promising trillions in new taxes on the campaign trail is also bad optics. This is undoubtedly why the Democrats are happy to keep Biden in his basement. This way Biden does not have to answer questions about his new tax plan.
As Alex Hendrie over at Americans for Tax Reform noted,
In total, Biden has called for at least $4 trillion in new or higher taxes including income tax increases, business tax increases, and capital gains tax increases.
Biden has repeatedly called for repealing the Tax Cuts and Jobs Act (TCJA), which will increase taxes on Americans at every income level.
While the Biden and others on the left falsely claim that the Trump tax cuts only benefited “the rich,” the TCJA led to strong tax reduction for American families.
By repealing the TCJA, Biden will increase taxes on American families earning the median annual income of $73,000 by over $2,000. A single parent with one child making $41,000 would see a $1,300 tax increase each year.
The twenty-two million American families that take the child tax credit will see it cut in half from $2,000 to $1,000. 4.5 million households that have seen relief from the Alternative Minimum Tax will once again face this onerous burden.
Biden also says he will bring back the Obamacare individual mandate tax penalty, which was zeroed out in the TCJA.
Before it was repealed, the individual mandate was one of the most regressive taxes in the code and forced individuals to purchase government approved health insurance or pay a tax totaling almost $700 for an individual and $2,000 for a family. In 2017, the Obamacare individual mandate tax hit 4,654,990 households and 75 percent of those paying the mandate had annual income of less than $50,000.
Biden also wants to increase taxes on businesses – his plan calls for raising the corporate rate back up to 28 percent or 35 percent – which would make the U.S. rate higher than China.
He also proposes several new taxes on businesses including a 15 percent minimum tax and repealing the 20 percent “small business” deduction enacted by the TCJA.
Increasing taxes on small and large businesses will harm American workers and make the U.S. a less competitive place to do business.
Biden also proposes doubling the capital gains tax to over 40 percent, a tax increase that would further harm economic growth, reduce investment, and threaten the creation of new jobs and wage growth.
Needless to say, a President Biden would be a delight to the entrenched elite in our government. Biden is promising to make more money available to the corrupt politicians who currently inhabit Washington. Just how much of that money would find its way into the pockets of these politicians?
“It’s not completely clear how this would shape out. The Supreme Court has been skeptical about Congress coming in and suing about every little thing that bothers them,” said David A. Super, a constitutional law expert at Georgetown University.
What is clear is that PDJT stands for the people and Joe Biden is in the clutches of the Far Left who want to control every aspect of American lives.