Posted on 11/21/2021 10:34:49 PM PST by Libloather
House Democrats just passed President Biden's multi-trillion-dollar "Build Back Better" spending agenda. They're pitching it as a historic investment in the middle and working class. So why is its second-largest provision a tax cut for the rich?
That's right: The latest version of the Build Back Better plan includes $125 billion for healthcare subsidies and $130 billion to expand the child tax credit - yet it allocates $280 billion to fund tax relief for wealthy residents of blue states. The only item bigger than this tax relief for the rich is the funding for pre-k and childcare, which comes in at $390 billion.
At question is something called the state and local tax deduction, or SALT, for short. It essentially gives residents of high-tax (read: blue) states a discount on their fair share of federal taxes. The GOP limited the deduction as a part of its 2017 tax reform, and now the Democrats are trying to expand it again via Build Back Better.
The Democrats are attempting to spin this as "middle class tax relief," but it actually almost exclusively benefits the rich. As the Washington Post explains, "Over the next five years, raising the SALT cap would provide a tax cut only to those who itemize their taxes and pay more than $10,000 in state and local taxes - a group overwhelmingly made up of the wealthy."
According to the liberal-leaning Tax Policy Center, Americans in the bottom 40 percent of income-earners receive literally zero benefit from this change, while almost all of the benefit accrues to those earning more than $250,000 annually.
(Excerpt) Read more at newsweek.com ...
The surprise is Newsweak finally calling out democrat hypocrisy...
The whole point is to destroy America. They have to destroy it to BBB. I do not think the new plan is what is best for “the people”, but the elites will do well. In the BBB plan illegal immigrants get green cards and the way they can vote. biden will also say that “citizens” can vote but so can “residents” because they add so much to our country. They know if they pass this a repub will never win another election. THAT is why they are not worried about their low approval numbers. All they have to do is get this passed.
THAT is also why biden wants to give them the $450,000. Once they start getting dollars they will vote for whoever keeps it coming.
There main constituency is billionaires, so.
“The Democrats are attempting to spin this as “middle class tax relief,” but it actually almost exclusively benefits the rich.”
They know exactly what they are doing. They are buying off the oligarchs and it will work because so many of the oligarchs today are corrupt.
This was a key issue for Pelosi, who opposed Trump’s limits on SALT.
The Democrats have become the true party of the rich.
They need this so blue states stop bleeding the wealthy to other states. Blue state tax bases are declining rapidly.
So, do the rats go back to NY and Kalifornia?
Newsweek has changed. The Democrats I know hate it. “Another Fox News”
Pelosi had flames shooting out her ass when Trump signed this.
I knew it was #1 on her agenda to get rid of it.
Democrat politicians have to be legally exempt from taxes somehow. Plus their buddies benefit too.
Worst part is that removing the SALT cap takes away any incentive for state and local pols to control spending.
BTW, it’s not just the rich getting screwed in NYS.
We know middle class home owners of existing homes under 2,000 sq ft and worth less than two hundred grand who are paying in the high four figures annually.
Lifting the SALT cap won’t help them, either.
Maybe they did it because they knew they would not get called on it, AND it would prop up this biden economy?
Tax cuts have worked EVERY TIME to get the economy moving again.
Yeah I see them saying the same thing about CNN and MSDNC now that they are reporting a little truth mixed in with their lies too!
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