Biden Making a Veiled Bid for Your Paycheck

Contact Your Elected Officials
The Heritage Foundation

Key Takeaways

  1. Biden has called for the repeal of the Trump tax cuts that saves an average Florida family well over $1,300 a year.
  2. Biden wants to introduce a new corporate tax, side-by-side with the current one, where many businesses wonโ€™t know which tax they are paying until Tax Day.
  3. Biden has proposed to increase U.S. corporate taxes from 21% to as much as 28%โ€”more than the average European rate of 19.99% or the world average rate of 23.85%.

Sixty-four cents out of every wage and salary dollar Americans earn in a year. Thatโ€™s how much it would take for President Joe Biden to fund his planned $6.4 trillion spending spree.

But wait, you may be thinking. Wonโ€™t only the super-rich have to pay? Biden has even promised to raise taxes only on those making over $400,000 a year.

Thatโ€™s what they want you to think will happen.

Despite this promise, Biden has called for the repeal of the Trump tax cuts that saves an average Florida family well over $1,300 a year. Not very reassuring, is it?

Whatโ€™s more, even if he kept to his $400,000 pledge, many of those tax filers are really pass-throughsโ€”small and mid-sized businesses, the businesses that employ most Americans (63.8% of Floridaโ€™s businesses have fewer than 10 employees). Biden is coming for your paycheck.

Keep in mind that before the government can spend this $6.4 trillion, it first has to get its hands on it. While you may earn your income through honest work, the governmentโ€™s income isnโ€™t so meritorious.

Governments can only get money by three different methods: taking money directly from the people that earned it through taxation, crowding out job and wage growth by running up large deficits, or by devaluing your savings and paycheck by printing new cash.

Make no mistake, a federal spending spree always comes, directly or indirectly, at the expense of hard-working American families. A quick sampling of the tax increases proposed by Biden and his congressional allies demonstrates this reality.

Biden has promised a new death tax, largely affecting small businessesโ€”a repeal of Step-Up in basisโ€”forcing families to pay an enormous extra death tax when a family business passes from one generation to the next. The real effect of this policy would be to force the destruction of these businesses to get the cash the IRS would require.

As if the tax code werenโ€™t complex enough, Biden wants to introduce a new corporate tax, side-by-side with the current one, where many businesses wonโ€™t know which tax they are paying until Tax Day. First, this would require impacted companies to keep track of two different tax structures with two different definitions of income to figure out their actual tax bill.

Then, the major increase in taxes from the new tax (a minimum tax on book income) would likely fall squarely on job opportunity expanding investments. Generally speaking, book income (usually the day-to-day profit of a company) tends to understate the cost, in a given tax year, of investments in expanding operations and employment.

As such, the principal effect of this proposal could be to introduce an overly complex new tax aimed at penalizing economic growth.

Biden has proposed to increase U.S. corporate taxes from 21% to as much as 28%โ€”more than the average European rate of 19.99% or the world average rate of 23.85%. Shockingly, he wants to tax businesses at a higher rate than even China does (25%).

Almost all of this burden would fall on workers. The consensus is that at least 70% of this tax hike would come out of paychecks. In fact, the most likely outcome is that wages would fall more than the value of the tax because of how much it would distort and stunt the economy.

Ultimately, taxes on businesses of all sizes manifest as: 1) diminished purchasing power for Americans through reduced pay or increased prices, or 2) slower economic and job growth through reduced investment.

These taxes may be felt through scarcer jobs, less money coming into your wallet or more money leaving it.

Florida has been known for decades as a dynamic and prosperous state that is great for growing businesses and families. How long can that last with such a burdensome tax system?

We are still in the first year of Bidenโ€™s presidency. This gigantic spending and tax spree may be only the beginning of what he and his congressional allies have planned.

By Richard Stern

Read Original Article on Heritage.org

The Heritage Foundation
The Heritage Foundationhttps://www.heritage.org/
The Heritage Foundation formulates and promotes public policies based on free enterprise, limited government, individual freedom, traditional values, and strong national defense.

AI is Now an Existential Threat

We now see evidence that artificial intelligence is an existential threat to our future. It is coming to take American jobs!

With or without

The mullahs of Iran have been at war with the West, particularly the US, for half a century and Iran is also the worldโ€™s foremost champion of terrorism.

Artificial Intelligence Equals Awful Iniquities

WSJ article โ€œAI is Learning to Escape Human Controlโ€ said in 79 of 100 trials, the o3 AI code systems edited their own code to prevent human shutdown!

VIDEO: Deranged Feminist vs. Mating Ducks in Epic Public Meltdown

A middle-aged white lady lib harasses mating ducks to โ€œstop it!โ€ because the rough sex they enjoy appears non-consensual on the part of the female.

RFK Jr. Slashes ALL U.S. Funding For Bill Gatesโ€™ Global โ€˜Vaccine Allianceโ€™

Robert F. Kennedy, Jr. recently pulled all U.S. government funding from Bill Gatesโ€™ Global โ€˜Vaccine Allianceโ€™ GAVI.

Musk Again Wades Into Politics, Calls GOP Bill โ€˜Insane and Destructiveโ€™

โ€œThe latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country!โ€ Musk wrote in a Saturday post on X.

Nevada Seen as Case Study in Rapid Urban Sprawl Amid a Water Crisis

Nevadaโ€™s rapidly growing population has reached a critical intersection with the regionโ€™s worsening water crisis, according to experts.

US Streamlines Rule for Fining Illegal Immigrants, Will Issue Nearly $1,000 Daily Fines for Noncompliance

DHS and DOJ announced a new joint federal rule that streamlines the process of issuing fines for illegal immigrants, making it easier and more efficient.

Man Indicted on 12 Hate Crime Charges in Attack on Boulder Demonstration for Israeli Hostages

Boulder, CO man accused of hurling Molotov cocktails at demonstrators supporting Israeli hostages indicted by grand jury on 12 hate crime counts.

Canada-US Trade Talks Will End Until โ€˜Certain Taxesโ€™ Are Dropped, Trump Stresses

Trade discussions between Canada and the United States will end โ€œuntil such time as they drop certain taxes,โ€ U.S. President Trump said in an interview.

Trump Says US to Send Tariff Letters to Trade Partners Before July 9 Deadline

President Donald Trump said Sunday he will soon send letters to trading partners detailing the tariffs to be imposed on their exports to the United States.

Trump Says He Found a Buyer for TikTok

President Trump said he found a buyer for the Chinese-owned short video application TikTok, and that he will reveal the group in roughly two weeks.

Termination of โ€˜Wasteful Contractsโ€™ Saves US Government $470 Million Last Week: DOGE

Over the past seven days, various government agencies have terminated 312 โ€œwasteful contractsโ€ with a ceiling value of $2.8 billion, the DOGE said.
spot_img

Related Articles