Connect with us

Hi, what are you looking for?

News

Manchin-Schumer Deal Raises Taxes on Millions of Americans, Even on Lower and Middle Class

Sen. Joe Manchin (D-WV) hit the Sunday shows, trying to convince people that his deal with Senate Majority Leader Chuck Schumer (D-NY) was a good thing.

But as we’ve previously explained, slapping the name “Inflation Reduction Act” on it doesn’t mean that it reduces inflation.

Indeed, as the Penn-Wharton Budget Model explained, it does no such thing. It even raises inflation in the first couple of years.

But there’s another problem with it, and that’s what Fox’s Bret Baier tried to get at when he was questioning Manchin on his show — that it’s going to raise taxes. Manchin tried to insist it did not.

Manchin talks about the 15 percent minimum corporate tax provision in the bill. That’s likely to cost everyone, as businesses are then going to pass along anything more they have to pay to the consumers. There are also going to be changes to the carried interest provision that are going to increase taxes on people. Perhaps one of the more concerning things is the more than 80,000 new IRS agents, who aren’t just going to be going after billionaires. Sen. Ted Cruz (R-TX) and Dana Loesch explained what a problem that’s going to be.

On top of that, prepare for your taxes to go up.

U.S. Senate Finance Committee Ranking Member Mike Crapo (R-Idaho) explained what the Joint Committee on Taxation found.

According to the JCT:

In 2023, taxes will increase by $16.7 billion on American taxpayers earning less than $200,000—a nearly $17 billion tax targeted solidly at low- and middle-income earners next year, amidst stagflation.

The $17 billion hit alone is confirmation that the Biden pledge to not raise taxes on anyone earning less than $400,000 is shattered by the latest tax-and-spend bill.

The proposal would raise another $14.1 billion from taxpayers earning between $200,000 and $500,000.

According to JCT data, 98 percent of all tax returns filed by those in the $200,000 to $500,000 category are filed by those earning between $200,000 and $400,000, with at least three-fourths of the income in the $200,000 to $500,000 category also coming from those below $400,000, meaning it is likely that at least half of all new tax revenue raised next year would come from those earning under $400,000.

Throughout the ten-year window, the average tax rate for nearly every single income category would increase.

By 2031, when the new green energy credits and subsidies provide an even greater benefit to those at higher incomes, those earning below $400,000 are projected to bear as much as two-thirds of the burden of the additional tax revenue collected that year.

Now, of course, this puts paid to Joe Biden’s lie about no one making less than $400,000 would get a tax increase.

If you look at the chart, everyone making over $30,000 has their rate go up. Indeed, the biggest percentage increase is on those who make less than $10,000.

You can see the full breakdown here.

They’re going to do this in the middle of a recession. It’s insane. We’ve already got the “increased tax” of Bidenflation, and now they would increase it more.

I don’t know what Manchin got for this, but he’s lost his mind. We better hope that Sen. Kyrsten Sinema (D-AZ) has more sense and sticks to her guns because she has been very against raising taxes.

READ 23 COMMENTS
  • Guessing... says:

    Gee could it be the WV natural gas pipeline Shumer promised Manchin?

  • TOP STORIES

    News

    Two-time PGA Tour winner Grayson Murray died Saturday at the age of 30, the PGA Tour announced. Murray’s family released a statement Sunday noting...

    News

    An “unprovoked” stabbing spree was carried out by a man donning a wig in Braintree, Massachusetts, on Saturday, police said, leaving four minor girls...

    News

    Bill Maher and Megyn Kelly got into a tense argument over her support for former President Donald Trump and how much emphasis should be...

    News

    On Saturday evening, former President Donald Trump attended the Libertarians’ National Convention in the Washington Hilton Hotel and it went about as anyone would...

    >