On Tuesday while everyone was focused on Afghanistan, the House of Representatives approved $3.5 trillion budget resolution and advanced a bipartisan infrastructure bill. So what is in the bill?
Yesterday The New York Post reported on some aspects of the bill.
The article reports:
House Democrats are now writing their version of the $3.5 trillion “human infrastructure” bill, detailing all the wish-list items they mean to ram through with zero Republican votes — including a host of economy-killing tax hikes.
No matter that the Trump-era tax cuts were bringing the best working-class wage gains in years before COVID hit: Dems mean to reverse them all and then some.
The Senate blueprint for the bill, for example, moves the corporate income-tax rate to 28 percent from the 21 percent level set by the 2017 Tax Cuts and Jobs Act. It also follows President Joe Biden’s call to double the federal capital-gains tax.
Both moves would slow the kind of business investment that allows for new jobs and rising wages.
President Trump’s economic policies were the reason the economy grew so well during the early years of his presidency and recovered so quickly from the Covid pandemic. Reversing those policies will have an adverse impact on the American economy.
Unincorporated businesses will be hit by increases in the top personal-income-tax rate. Some Democrats are calling for steep hikes in that area. They are obviously unaware that this will cause many small business to close (or they don’t care). Since the small business is the backbone of the American economy, one wonders why the Democrats would want to tax them out of existence. This is also one way to eliminate the middle class.
The article concludes:
The House might also take up Sen. Liz Warren’s push for a special 7 percent surtax on corporate profits above $100 million or embrace new “green” taxes on the fuels that still provide nearly all of America’s power.
All to help fund a host of new or enlarged social programs that would vastly increase the ranks of Dem-supporting government-employee unions, as well as green-energy spending that would likely reward Democrat-friendly companies.
We are not looking at tax policies that will help grow the American economy. We are looking at tax policies that will help grow dependency on government.