Obama has Proposed 442 Tax Hikes Since Taking Office
Since taking office in 2009, President Barack Obama has formally proposed a total of 442 tax increases, according to an Americans for Tax Reform analysis of Obama administration budgets for fiscal years 2010 through 2015.
The 442 total proposed tax increases does not include the 20 tax increases Obama signed into law as part of Obamacare.
“History tells us what Obama was able to do. This list reminds us of what Obama wanted to do,” said Grover Norquist, president of Americans for Tax Reform.
The number of proposed tax increases per year is as follows:
-79 tax increases for FY 2010
-52 tax increases for FY 2011
-47 tax increases for FY 2012
-34 tax increases for FY 2013
-137 tax increases for FY 2014
-93 tax increases for FY 2015
Perhaps not coincidentally, the Obama budget with the lowest number of proposed tax increases was released during an election year: In February 2012, Obama released his FY 2013 budget, with “only” 34 proposed tax increases. Once safely re-elected, Obama came back with a vengeance, proposing 137 tax increases, a personal record high for the 44th President.
In addition to the 442 tax increases in his annual budget proposals, the 20 signed into law as part of Obamacare, and the massive tobacco tax hike signed into law on the sixteenth day of his presidency, Obama has made it clear he is open to other broad-based tax increases.
During an interview with Men’s Health in 2009, when asked about the idea of national tax on soda and sugary drinks, the President said, "I actually think it's an idea that we should be exploring."
During an interview with CNBC’s John Harwood in 2010, Obama said a European-style Value-Added-Tax was “something that would be novel for the United States.”
Obama’s statement was consistent with a pattern of remarks made by Obama White House officials refusing to rule out a VAT.
“Presidents are judged by history based on what they did in power. But presidents can only enact laws when the Congress agrees,” said Norquist. "Thus a record forged by such compromise tells you what a president -- limited by congress -- did rather than what he wanted to do.”
The full list of proposed Obama tax increases can be found here.
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Democrats Want to Give $3.5 Billion to Jobless Climate Activists
Democrats are including at least $3.5 billion in taxpayer money for the creation of a uniformed “Civilian Climate Corps” according to the House Natural Resources Committee’s portion of Democrats’ $3.5 trillion spending package.
The Civilian Climate Corps (CCC) is designed as a make-work program for unemployed youths to be placed on the government payroll, paid to lecture taxpayers on the importance of climate activism and complete vital environmental projects like digging ditches and boosting enrollees' outdoor recreation.
The Democrat proposal is an attempted revival of the New Deal-era Civilian Conservation Corps that, according to a 2020 report from the Congressional Research Service, existed as a government employment program for unemployed males aged 18-25 in which “enrollees were recruited, hired, and trained by the federal government, worked under federal supervision, lived in government-run military camps, and received stipends paid for with federal funding.”
How taxpayer dollars are spent
According to bill text, Democrats will divvy up the funding across four separate agencies for the purpose of “carrying out education and job training projects and conservation projects.” Beyond funding levels, the legislation only stipulates that no more than 2 percent of appropriations shall be used for administrative costs.
- The National Park Service will receive $1.7 billion in funding.
- The Bureau of Land Management will receive $900 million in funding.
- The Fish and Wildlife Service will receive $400 million in funding.
- The Bureau of Indian Affairs will receive $500 million in funding.
Biden says the goal of the program is to boost young adults’ outdoor recreation
The creation of a new CCC was included as part of President Biden’s initial infrastructure agenda, which Biden recently described as a government program designed to help “young adults find work installing solar panels, planting trees, digging irrigation ditches and boosting outdoor recreation.”
Likely Structure of Civilian Climate Corps
While details are still forthcoming, the plan is modeled off of the 21st Century Civilian Conservation Corps Act introduced by House Democrats last Congress.The legislation provides further insight into Senate Democrats' proposal, the details of which are below:
Jobs are prioritized for individuals who have already used up unemployment benefits
According to the text of the legislation, the President shall prioritize “unemployed citizens who have exhausted their entitlement to unemployment compensation,” over other citizens still “eligible for unemployment compensation payable under any State law or Federal unemployment compensation law.”
80 percent of funding used on employment, not conservation.
While the Biden administration claims the proposal is about conservation and addressing climate change, the model legislation mandates that 80 percent of funding is to be used just on the salaries of staff.
“Not less than 80 percent of the funds utilized pursuant to paragraph (1) must be used to provide for the employment of individuals under this Act.”
Taxpayer-funded housing, clothing, and feeding of Climate Corps members.
According to the legislation, taxpayers would be responsible for paying the cost of Climate Corps members’ housing, clothing, feeding, allowance, and medical expenses. Nothing screams good-paying jobs like an “allowance” from the government. Here it is straight from the bill’s text:
“The President may provide housing for persons employed in the Civilian Conservation Corps and furnish them with such subsistence, clothing, medical attendance and hospitalization, and cash allowance, as may be necessary, during the period they are so employed.”
Taxpayer-funded transportation to “work” for Climate Corps members.
Not only will the government provide food, clothing, housing, and an allowance, it will also pick up members of the Climate Corps and drive them to work for them.
"The President may provide for the transportation of persons employed in the Civilian Conservation Corps to and from the places of employment."
Allows President Biden to seize private property through land condemnation.
President Biden would be empowered to seize public land deemed necessary to construct projects authorized under the bill.
“The President, or the head of any department or agency authorized by the President to construct any project or to carry on any public works under this Act, may acquire real property for such project or public work by purchase, donation, condemnation, or otherwise.”
Based on a failed 1930’s program that housed “employees” in military camps.
The effort is reportedly an attempt by the Biden administration to revive a long-defunct jobs program created in 1933 as part of the New Deal and similarly titled the Civilian Conservation Corps (CCC). In 1937, shortly after the CCC’s creation, Congress elected to phase out funding for the program, officially ending the CCC in 1942. The CCC appears to be the very first New Deal program defunded by Congress.
CCC was extremely accident-prone.
It turns out taking untrained youths and asking them to perform manual labor in the wilderness is a dangerous idea. “Given the nature of the work (“most of which consisted of manual labor”) and the inexperience of most enrollees, accidents were inevitable,” according to a National Archives report cataloging the accident reports of the CCC program.
According to the report, over 7,600 workplace accidents were filed during the CCC’s short existence and included several workplace deaths and life-threatening injuries. The report details cases of drownings and construction accidents.
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FDA Devastates Lifesaving Vapor Industry
Yesterday, in a devastating blow to public health, President Biden's FDA bowed to radical anti-science political activists late yesterday and refused to grant PMTA authorizations to any life-saving reduced risk tobacco alternative vaping product. As a result, it is now illegal to sell any vaping product in the United States.
While the FDA has already rejected many applications hundreds of companies remain in limbo as the FDA refuses to finalize their applications, despite a September 9 deadline. It is now illegal to sell any vaping product without FDA authorization.
These outrageous now regulations were imposed even though these products are proven to be 95% safer than combustible tobacco, 3-7 times more effective than other nicotine replacement therapies, and, according to Georgetown University Medical Center, having the potential to save up to 6.6 million American lives. For this reason, they are endorsed by over 50 of the world’s leading medical organizations. And it is now illegal to sell any of them.
While the FDA has stated it will use its discretion in enforcing the law while outstanding applications are pending, so far, it has rejected every application it has ruled upon. Moreover, in its rulings, it has demanded that individual vape manufacturers would have needed to supply a “randomized controlled trial or longitudinal cohort study,” costing hundreds of thousands of dollars, for every product, variety, or strength or e-liquid a manufacturer develops. Even the smallest of vape stores sell hundreds of different products. In order to have any chance of approval, they would have to spend over a hundred million dollars – something impossible.
As a result, it is now almost certain that thousands of independent vape shops will shut down. Millions of former smokers who rely on vaping devices will gradually return to smoking, with deadly consequences.
Smoking kills seven million Americans annually - twice as many as have been killed thus far by the Covid-29 Pandemic. For the FDA to rule that tens of millions of smokers will be unable to quit their deadly habit through a scientifically proven reduced risk alternative will leave a long-term death toll far higher than Covid ever would.
Photo Credit: Vaping 360
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Poll: 51% Say $3.5 Trillion Tax-and-Spend Plan Will Make Inflation Worse
51 percent of voters believe that Democrats’ $3.5 trillion tax-and-spend plan will make inflation worse, according to a new poll conducted by HarrisX.
The poll was conducted by HarrisX between Sept. 3 - 6 among 1,916 representative registered voters.
Respondents were asked the following:
President Biden and Congressional Democrats are pushing legislation that increases spending and taxes by $3.5 trillion over the next decade. Do you think this will make inflation worse, better, or have no effect?
- Better
- Worse
- No effect
51 percent of respondents answered, “Worse,” while just 21 percent answered, “Better.” About 27 percent answered, “No effect.”
The following demographic groups said the $3.5 trillion reconciliation package would make inflation worse:
- 55 percent of women
- 61 percent of voters making less than $75k
- 45 percent of independents
- 60 percent of suburban voters
- 68 percent of rural voters
- 81 percent of Republicans
- 72 percent of those 65 years old or older
Inflation has already been surging. Consumer prices increased by 5.4 percent on an annualized basis in July, according to the Bureau of Labor Statistics (BLS). In January 2021, before Joe Biden took over the presidency, annual inflation was at a stable 1.4 percent.
These findings are instructive as Democratic lawmakers push for trillions of dollars in new spending and taxes.
Click here to view the breakdown of the poll. The poll was commissioned by Americans for Tax Reform.
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Dems Ready Carbon Tax in Violation of Biden’s $400,000 Tax Pledge
House Democrats are proposing a new energy tax as a means of financing their $3.5 trillion ($3,500,000,000,000) tax and spending spree, according to a fact sheet released by Democrats on the House Energy & Commerce Committee.
The tax will automatically ratchet up each year at a rate of 5% above inflation. This is a tax increase on autopilot without congress having to hold a vote on it each time.
The plan would impose a regressive carbon tax on methane emissions from oil and gas development, likely amounting to a tax increase of $10-$15 billion annually. This tax will be paid for by American households in the form of higher energy bills and higher costs of everyday products. A recent letter to Congress from the American Gas Association warned that the methane tax would amount to a 17% increase on an average family's natural gas bill.
This tax increase would violate President Biden’s pledge not to raise any form of tax on anyone making less than $400,000 per year. Officials within the administration have repeatedly stated taxes that raise consumer energy prices are in violation of President Biden’s $400,000 tax pledge.
A recent Reuters story on Democrats’ proposals for new energy taxes even detailed how “the White House is concerned the Democrats' proposal will raise prices on a host of consumer goods, from cars to appliances, and conflict with Biden's pledge not to tax any American earning less than $400,000 per year.”
The Democrat proposal is modeled off of legislation introduced earlier this year by Sen. Sheldon Whitehouse (D-R.I.) that would tax methane starting at a rate of $1,800/ton and then set to increase on autopilot at 5% above inflation annually.
Once this tax mechanism is in law, Democrats will gradually add other greenhouse gases and build a full-fledged carbon tax regime, with the cost burden shouldered by American households.
The same legislation also includes a market distorting import tax on crude oil and natural gas from other countries that would further increase consumer costs and likely lead to retaliatory actions from American trading partners in the form of tariffs and import taxes of their own.
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120+ Organizations, Activists Oppose Democrats’ Tax Hikes on Working Families and Small Businesses
ATR today led a coalition of over 120 center-right organizations, activists, and state lawmakers in opposition to the numerous tax hikes on American families and businesses included in the $3.5 trillion reckless tax-and spend reconciliation proposal.
Democrats are pushing numerous tax increases that may be in the reconciliation legislation including:
- Raising the corporate tax rate to 25 percent or 28 percent, a rate higher than Communist China
- Doubling the capital gains tax to 43.4 percent
- Raising the top rate to 39.6 percent
- Creating a second death tax by eliminating step-up-in basis
- 95 percent excise tax on pharmaceutical manufacturers if they fail to accept government set price controls
- Repealing the deduction for foreign-derived intangible income
- Raising taxes on carried interest capital gains
- Raising the tax rate on GILTI to a top rate of 26.25 percent and requiring it to be calculated on a country-by-country basis
- Imposing a 15 percent minimum tax on book income
- Retroactively capping the conservation easement deduction
- Repealing numerous oil and gas tax provisions including the
- deduction for intangible drilling costs (IDCs)
- A tax on American energy manufacturers based on their methane
- production
- A carbon border tax
- Capping Section 1031 like-kind exchanges
Millions of small businesses will see higher taxes through the increase in the corporate tax and the top marginal income tax rate. In addition, the plan to repeal step-up in basis will raise taxes on family-owned businesses across the country.
Democrats have also floated retroactive tax increases on the American people. For instance, the Biden budget calls for retroactively increasing the capital gains tax. This is a terrible idea – retroactive tax policy changes the rules on taxpayers after the fact. It is fundamentally unfair and erodes confidence in the tax system.
Many of the tax hikes being pushed by the administration violate President Biden’s pledge not to raise taxes on any American earning less than $400,000 per year. A recent analysis by the left-of-center Tax Policy Center found that the tax hikes proposed in President Biden’s budget will raise taxes on 74.1 percent of middle income-quintile households in 2022. In addition, a report by the Joint Committee on Taxation found that over the long-term, approximately $100 billion of the corporate tax increase would be borne by taxpayers making less than $100,000.
Now is one of the worst times to raise taxes on American families and businesses. We are still over five million jobs short of pre-pandemic levels. In addition, inflation is running rampant and increasing prices for families and businesses across the country.
Photo Credit: Kevin Burkett
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Democrats Pull A Bait-and-Switch on Retirement Savings
As part of the $3.5 trillion tax-and-spend plan, Democrats have proposed a provision which would require companies to automatically enroll workers into retirements plans like IRAs or 401(k)s.
This draft provision would require that employers direct 6 percent of each employee’s pay into a retirement savings plan, gradually escalating to 10 percent, unless the employee decided to opt out or change their contribution rate.
In turn, all businesses must offer a retirement plan and then must comply with these specific requirements that create administrative costs. If a company does not comply, they’ll be charged a tax of $10 per employee per day.
Many have mistakenly described this provision as a “bipartisan” effort, because the automatic enrollment provision was included in the bipartisan ‘Setting Every Community Up for Retirement Enhancement Act of 2021’ or the SECURE Act 2.0. This legislation was introduced in May of this year by Ways and Means Committee Republican Leader Kevin Brady (R-Texas) and Chairman Richard E. Neal (D-Mass.).
However, the SECURE Act 2.0 contained several incentives and cost-recovery provisions for businesses hit by these new requirements. These provisions are excluded from the automatic enrollment proposal in the $3.5 trillion reconciliation package.
For example, the SECURE Act 2.0 would have expanded the credit for small employer pension plan startup costs from 50 percent of administrative costs to 100 percent of administrative costs for employers with up to 50 employees. Additionally, it attempted to eliminate outdated barriers on multiple employer plans (MEPs) in order to make them more efficient and less costly, helping small employers offer their own independent plans. The legislation would have also helped promote the saver’s credit to increase utilization, enhance 403(b) plans, offer immediate financial incentives for contributing to a plan, and more.
To be clear, the “inclusion” of the SECURE Act 2.0 in the reconciliation package is not reflective of the bipartisan, fiscally-responsible, business-friendly version of the original bill, which advanced out of Committee unanimously on a bipartisan basis. In fact, changing this bill so dramatically and including it in the reconciliation undermines the spirit of bipartisanship.
This is certainly not the first time congressional Democrats have done this. In the original SECURE Act passed in 2019, despite the bill unanimously passing the House Ways and Means Committee, Speaker Nancy Pelosi removed a provision to expand 529 Education Savings Accounts in order to appease teachers' unions and liberals who oppose homeschooling. While Pelosi’s actions in 2019 didn’t serve as a reason to oppose the bill, the changes made in the SECURE Act 2.0 impose an undue burden on businesses without including necessary relief.
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Biden to Pull Nominee Who Wanted $200 Gun Tax
President Biden will pull his $200-gun-tax-supporting ATF nominee David Chipman, as reported by the Washington Post.
Chipman supported the Biden-endorsed $200 gun tax and a ban on future sales of AR-15s and many semiautomatic firearms (one round fired per trigger pull for those in the media who don't know). Under the policy, even such firearms in private possession would need to be sold to the government or the owner would have to submit a $200 tax per gun and per magazine, along with fingerprints, a photograph, and an invasive multi-page application.
This tax is a violation of Biden's pledge against any tax increase on anyone making less than $400,000 a year.
Chipman, nominated by Biden on April 7, confirmed these positions during a Senate hearing:
"I prefer a system where the AR-15 and other assault weapons are regulated under the National Firearms Act."
Chipman also told the House Judiciary Committee on Sept. 25, 2019:
“One option would be to require the registration of all existing assault weapons in civilian hands under the National Firearms Act, while banning the future manufacture and sale of these firearms."
As was detailed on Biden’s campaign website:
Biden will also institute a program to buy back weapons of war currently on our streets. This will give individuals who now possess assault weapons or high-capacity magazines two options: sell the weapons to the government, or register them under the National Firearms Act.
This triggers the $200 tax.
The Biden campaign site also stated:
As president, Biden will pursue legislation to regulate possession of existing assault weapons under the National Firearms Act.
Given there are nearly 18 million AR-15s privately owned in the United States, gun owners could potentially be forced to pay a collective $3.6 billion in taxes. This figure doesn’t even include other firearms the left considers “assault weapons” and the additional magazines many gun owners would have to register.
Working families would find themselves incapable of paying for the ability to exercise a constitutional right.
Under the Biden policy, any magazine that holds more than 10 rounds is a “high capacity” magazine. If a household owns two rifles and two magazines, they would be forced to pay a Biden gun tax of $800 total just to keep what they currently own.
Poll: 80% Oppose Tax Hikes Coming Out of Pandemic
[To schedule a media interview on this topic, contact John Kartch at jkartch@atr.org]
By an 80-20 margin voters oppose tax increases as the U.S. comes out of the pandemic, according to a new poll conducted by HarrisX.
The poll was conducted by HarrisX between Sept. 3 - 6 among 1,916 representative registered voters.
Respondents were asked the following:
As the US comes out of the coronavirus pandemic and economic problems it caused, which comes closest to your view?
- Now is the right time to raise taxes for new spending projects.
- Now is not the right time to raise taxes because many businesses and individuals have not yet recovered.
80 percent of respondents answered, “Now is not the right time to raise taxes because many businesses and individuals have not yet recovered,” while just 20 percent answered, “Now is the right time to raise taxes for new spending projects.”By strong majorities, the following demographic groups said now is not the right time to raise taxes:
- 86 percent of women
- 85 percent of voters making less than $75k
- 83 percent of independents
- 82 percent of suburban voters
- 74 percent of Hispanic voters
- 71 percent of urban voters
- 70 percent of Biden voters
- 69 percent of Democrats
These findings are instructive as Democratic lawmakers push for trillions of dollars in new spending and taxes.Click here to view the breakdown of the poll. The poll was commissioned by Americans for Tax Reform.
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Study: Raising Taxes on Carried Interest Capital Gains Will Eliminate 4.9 Million Jobs
Raising taxes on carried interest capital gains will eliminate 4.9 million jobs and cause pension funds to lose $3 billion per year, according to a new study by the U.S. Chamber of Commerce’s Center for Capital Markets Competitiveness.
Democrats have proposed raising taxing carried interest capital gains. President Biden’s fiscal year 2022 budget called for doubling the tax rate from 23.8 percent to 43.4 percent, while Senate Finance Committee Chairman Ron Wyden (D-Ore.) has introduced legislation that would double the tax and require taxes to be paid on unrealized gains every year.
Raising Taxes on Carried Interest Capital Gains Would Cost Jobs and Reduce Life Savings
This tax increase would hit private equity, venture capital, real estate partnerships, and their portfolio companies which collectively account for over 25 million American jobs. It will cause these firms to downsize and decrease investment, which in turn will cause a loss of jobs and a reduction in the returns investors see.
This could affect Americans in every state. For instance, private equity investment supports 11.7 million jobs across the country including 1.5 million jobs in California, 1 million jobs in Texas, 738,000 jobs in Florida, 421,000 jobs in Ohio, and 359,000 jobs in Michigan.
One third of all private equity investment comes from public pension funds so raising taxes on carried interest will harm firefighters, teachers, and police officers that have their life savings invested in these funds. For instance, the California Public Employee Retirement System has $26.5 billion invested in private equity, the Teachers Retirement System of Texas has $23.9 billion invested, while the California State Teachers Retirement System has $23.5 billion invested.
Raising Taxes on Carried Interest Capital Gains is Bad Tax Policy
While the Left frequently characterizes this tax provision as a “loophole” it is actually based on longstanding tax principles.
First, carried interest capital gains is treated as partnership income, meaning taxation flows through to the individual taxpayers. In this case, carried interest is the investor’s share of partnership income they receive for providing expertise on investment decisions. All taxpayers involved in the partnership – those providing expertise and those providing capital – are taxed the same.
Second, carried interest is treated as capital gains income as it is earned through long-term investment, not as ordinary income. Investors hold the portfolio companies for a significant period of time, often 5 to 7 years. There is no justification for treating this as ordinary income – the investor purchased an asset, grew the asset by making it more economically valuable, and sold the asset at a profit – exactly the same as other types of investment.
Raising taxes on carried interest capital gains should be rejected. It is terrible tax policy that would harm economic growth, reduce jobs, and reduce the returns of public pension funds across the country.
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25% Federal Corporate Tax Rate Leaves U.S. Uncompetitive with China and Europe
Media reports indicate that Democrats will attempt to increase the federal corporate income tax rate from 21 to 25 percent. This would hurt American workers and small businesses and leave the U.S. at a competitive disadvantage vs. China and Europe.
A 25% federal corporate tax rate would result in a combined federal and state rate of 29.5%, higher than communist China and higher than the developed world average.
U.S. Federal + State Tax Rate Under Democrat Plan: 29.5%
China's Corporate Tax Rate 25%
Developed World (OECD) Average National + Subnational Rate: 23.5%
"Raising the corporate tax rate is Biden's next big mistake," said Grover Norquist, president of Americans for Tax Reform. "A corporate tax hike will decrease wages, increase prices, and hurt American competitiveness."
The Democrat proposal is contrary to the wishes of voters who want the U.S. corporate income tax rate to be competitive with China, according to polling conducted by HarrisX.
After voters were informed that China has a 25 percent corporate rate, they were asked “At what level should the US set the corporate tax rate?” Among all respondents, the median answer was 21 percent.
A Corporate Tax Hike Would Hit 1.4 Million Small Businesses Organized as C-Corporations
As noted by the Small Business Administration Office of Advocacy, there are 31.7 million small businesses in the U.S. Of those, 25.7 million have no employees, while 6 million have employees. Of these 6 million small employers, 16.8 percent, or over 1 million of these businesses are classified as c-corporations. The SBA classifies a small employer as any independent business with fewer than 500 employees.
A recent study from the U.S. Chamber of Commerce found that 1.4 million small businesses organized as C-corporations will get hit by Biden's corporate tax rate hike.
Biden claims his tax plan makes large corporations pay their “fair share.” However, the plan will raise taxes on many small businesses that are structured as corporations.
Workers Will Bear the Burden of an Increased Corporate Tax Rate
Such a hike will cause businesses to invest less in the United States and more overseas (or not at all), resulting in fewer job opportunities and lower wages for American workers:
- A Treasury Department study estimated that “a country with a 1 percentage point lower tax rate than its competitors attracts 3 percent more capital.” This is because raising the corporate rate makes the United States a less attractive place to invest profits.
- According to the Stephen Entin of the Tax Foundation, labor (or workers) bear an estimated 70 percent of the corporate income tax in the form of wages and employment.
- A 2012 Harvard Business Review piece by Mihir A. Desai notes that raising the corporate tax lands “straight on the back” of the American worker and will see a decline in real wages.
- A 2012 paper at the University of Warwick and University of Oxford found that a $1 increase in the corporate tax reduces wages by 92 cents in the long term. This study was conducted by Wiji Arulampalam, Michael P. Devereux, and Giorgia Maffini and studied over 55,000 businesses located in nine European countries over the period 1996-2003.
- Even the left-of-center Tax Policy Center estimates that 20 percent of the burden of the corporate income tax is borne by labor.
A Corporate Income Tax Hike Would Increase the Cost of Goods and Services
Raising the corporate income tax would cause prices to increase for American consumers in a couple ways. A 2020 study by the National Bureau of Economic Research found that 31% of the corporate tax falls on consumers. Additionally, customers directly bear the cost of corporate income taxes imposed on utility companies. In this way, customers would have to pay more for their utility use.
Already, inflation levels are rising. Consumer prices increased by 5.4 percent on an annualized basis in July, according to the Bureau of Labor Statistics (BLS). In January 2021, before Joe Biden took over the presidency, annual inflation was at a stable 1.4 percent. If Americans are struggling to afford goods and services now, they certainly will be after the corporate income tax is implemented.
A 25 Percent Corporate Tax Rate Would Threaten American Life Savings
A corporate tax increase will threaten the life savings of families by reducing the value of publicly traded stocks in brokerage accounts or in 401(k)s. Individual investors opened 10 million new brokerage accounts in 2020 and at least 53% of households own stock. In addition, 80 million to 100 million people have a 401(k), and 46.4 million households have an individual retirement account.
President Biden and Democrats continually claim their tax hikes will hold middle class families and small businesses harmless. However, the facts do not support this case. If Democrats have their way and raise taxes, millions of main street businesses, low- and middle-income workers, and retirees will be hit. Lawmakers must reject a 25 percent corporate income tax rate.
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