WASHINGTON, D.C. – As more is learned about the House Democrats latest 2,500+ page tax and spending spree reconciliation bill, more information is coming to light about the contents and the consequences of what is included in their plans. Specifically, the legislation would raise taxes on working families and small businesses while fueling higher prices on goods and services in order to give tax breaks and handouts to the Democrats’ wealthy friends.
House Budget Committee Republican Leader Jason Smith (MO-08) issued the following statement in response to the Democrat push for tax hikes on working families to reward the wealthy:
“When you look at just some of what Democrats are proposing in their tax and spending spree, it is crystal clear that their goal is to funnel more money to their wealthy friends and elites by raising taxes on working families and job creators. It is a slap in the face to hardworking Americans whose wages are already being taxed in the form of higher prices for goods and services brought on by the Biden Administration’s inflation crisis. The Congressional Budget Office has even said ‘inflation has eroded the purchasing power of families.’ Rather than continuing to fight amongst themselves over how to jam their reckless socialist agenda through the House and Senate, Democrats should stop and explain their priorities and answer why they think working families should have to pay for handouts to the wealthy.”
The Democrats’ plan to tax working families and raise their cost-of-living includes but is not limited to:
- Trillions in new spending that will further fuel the highest inflation the country has seen in forty years.
- $54.3 billion tax increase on grieving families with an enhanced death tax.
- $78 billion tax increase on small businesses by limiting the 20% small business deduction.
- $96.8 billion tax increase on low- and middle-income Americans with 94% of the regressive tobacco tax falling on people making under $200,000 a year.
- $540.1 billion tax increase on American employers when the Joint Committee on Taxation has confirmed that two-thirds of a tax increase on employers falls on low- and middle-income Americans over the long term.
- New regulations to deter domestic and traditional energy production and increase the price Americans will pay to put gas in their cars, heat and cool their homes, and keep the lights on.
- $242 increase in yearly energy costs per family from EPA tax on methane emissions which could also leave dairy farmers paying an additional $6,504 per cow per year.
The Democrats’ plan to give breaks and handouts to the wealthy includes but is not limited to:
- $42.3 billion in tax credits for the wealthy to purchase electric vehicles (EV).
- 78% of EV credits are claimed by those making $100,000 or more per year.
- $12,500 tax subsidy to a family making $800,000 to buy an EV.
- $11.6 billion in special tax credits would go to big businesses to purchase their own electric vehicle fleets.
- $28,000 in taxpayer funded paid leave benefits handed out to households making $500,000.
- $2.3 billion tax cut for mega-university endowment income.
- $125 million tax credit for wealthy university donors in the name of “research infrastructure.”
- $1,200 average monthly childcare subsidy for a family of four making $200,000 per year.
- $50 billion to award free college to any students, including those from millionaire families.
- $82,000 in a government homebuying subsidy would be available to individuals making $200,000 a year.
- $10,000 more in Obamacare premium tax credits for families making over $200,000 per year than for families making $50,000 per year.
- $36,000 tax cut for the top 1% of filers if the cap on state and local tax deduction is removed.