Build Back Better includes hidden tax cuts for the rich
Nov 6, 2021 11:03:33 #
David Martin
Loc: Cary, NC
BBB is supposed to increase taxes on the rich. However....
BBB is expected to include the repeal or suspension of SALT. SALT places a $10,000 cap on the amount of state and local taxes that a household can deduct from federal income taxes.
SALT effectively reduces (but does not eliminate) the extent to which taxpayers in low tax states have to subsidize taxpayers who live in high tax states.
The wealthy would benefit most from a repeal of SALT = a tax break for the rich.
"A two-year SALT cap repeal -- if included -- would reduce taxes on the top 5% of earners by over $70 billion" in fiscal 2023, the CRFB said.
"After factoring in the planned tax hikes on the rich, the package would t***slate to a $30 billion net direct tax cut for those in the top 5% when the SALT cap repeal is in effect, the analysis said."
"The bipartisan Committee for a Responsible Federal Budget found in an analysis released Friday that repealing the SALT cap would more than offset the planned tax hikes on the rich."
"More than 96% of the benefits from a SALT cap repeal would go to the highest-income 20% of households, according to a 2018 analysis from the Tax Policy Center."
"I am certainly no left wing ideologue, but I think something [is] wrong when taxpayers like me, well into the top .1 percent of income distribution, are getting a significant tax cut in a Democrats only tax bill as now looks likely to happen," Summers, who served as Treasury secretary during the Clinton administration, wrote on Twitter.
"No SALT, no deal! I am confident it will be part of the final deal," the Democrat said in a tweet last week.
https://www.cnn.com/2021/11/01/business/reconciliation-package-taxes-salt/index.html
BBB is expected to include the repeal or suspension of SALT. SALT places a $10,000 cap on the amount of state and local taxes that a household can deduct from federal income taxes.
SALT effectively reduces (but does not eliminate) the extent to which taxpayers in low tax states have to subsidize taxpayers who live in high tax states.
The wealthy would benefit most from a repeal of SALT = a tax break for the rich.
"A two-year SALT cap repeal -- if included -- would reduce taxes on the top 5% of earners by over $70 billion" in fiscal 2023, the CRFB said.
"After factoring in the planned tax hikes on the rich, the package would t***slate to a $30 billion net direct tax cut for those in the top 5% when the SALT cap repeal is in effect, the analysis said."
"The bipartisan Committee for a Responsible Federal Budget found in an analysis released Friday that repealing the SALT cap would more than offset the planned tax hikes on the rich."
"More than 96% of the benefits from a SALT cap repeal would go to the highest-income 20% of households, according to a 2018 analysis from the Tax Policy Center."
"I am certainly no left wing ideologue, but I think something [is] wrong when taxpayers like me, well into the top .1 percent of income distribution, are getting a significant tax cut in a Democrats only tax bill as now looks likely to happen," Summers, who served as Treasury secretary during the Clinton administration, wrote on Twitter.
"No SALT, no deal! I am confident it will be part of the final deal," the Democrat said in a tweet last week.
https://www.cnn.com/2021/11/01/business/reconciliation-package-taxes-salt/index.html
Nov 6, 2021 11:44:17 #
Nov 6, 2021 12:08:59 #
David Martin wrote:
BBB is supposed to increase taxes on the rich. How... (show quote)
And this is how they celebrate grand theft!
https://www.foxnews.com/politics/schumer-maskless-dancing-puerto-rico
Nov 6, 2021 12:26:03 #
David Martin wrote:
BBB is supposed to increase taxes on the rich. How... (show quote)
That’s was a dumb deduction loss in the first place.
anyone that thinks that is just for the rich is making a political comment not connected to reality
$10k in local tax deduction Is not very high in today’s world.
Imagine a couple that bought their house years ago thinking was a good investment, watching its value increase ( along with taxes) only to watch their deduction disappear to be used to pay for a corporate tax cut that accomplished nothing
Nov 7, 2021 09:50:57 #
DennyT wrote:
That’s was a dumb deduction loss in the first place.
anyone that thinks that is just for the rich is making a political comment not connected to reality
$10k in local tax deduction Is not very high in today’s world.
Imagine a couple that bought their house years ago thinking was a good investment, watching its value increase ( along with taxes) only to watch their deduction disappear to be used to pay for a corporate tax cut that accomplished nothing
anyone that thinks that is just for the rich is making a political comment not connected to reality
$10k in local tax deduction Is not very high in today’s world.
Imagine a couple that bought their house years ago thinking was a good investment, watching its value increase ( along with taxes) only to watch their deduction disappear to be used to pay for a corporate tax cut that accomplished nothing
good investments come with risks & expenses, often hidden...doubt you realize that
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