Legislation will cause higher tax burden, fewer jobs, lower wages and continued economic stagnation
Washington, D.C. Faced with high inflation, declining GDP and stagflation, Democrats are moving forward with legislation that has nothing to do with inflation; it will not develop the economy or ease the pressure in the supply chain; but it will increase the tax burden on millions of Americans. The Republicans of the US Senate Finance Committee chaired by ranking member Mike Crapo (R-Idaho) held a press conference to highlight why the latest Tax and Expense Act will not help Americans who are already experiencing the consequences of a reckless Democratic economy. policy.
To view the entire press conference, click here. This may interest you : Bulgaria’s high out-of-pocket payments for healthcare undermine progress towards universal health coverage.
“Bottom line – this tax is dangerous for America.”
The administration very cautiously said, “We are not raising tax rates for anyone below $ 400,000.” But everyone in America knows that when taxes are charged, people end up bearing the burden of those taxes. This burden arises because the corporate tax is passed on to employees; to equity or those who own stocks and people trying to invest in their retirement, retirement plan, or 401K; and rising prices in the economy. . . . That is the reality, regardless of the games played, when it comes to determining who your taxes are going to fall on. . . . The numbers show very vividly where the burden of this tax falls, contrary to the argument that it is only a tax fraud. All in all, this tax is dangerous for America.
Senator Pat Toomey (Pennsylvania):
“They’re going to completely devastate American production.”
Apparently the best economy of our lives was not a very good thing; apparently narrowing the pay gap between higher and lower income earners was not a good thing. I have yet to hear a Democrat tell us what was wrong with the 2019 economy shooting all cylinders where wages rose faster than inflation and not the other way around as we have today. However, they decided to follow the centerpiece of the tax reform that made this possible. They will absolutely devastate American production, and in the process, will impose this tax increase on people of average and modest means. This is a very bad plan.
“This puts us at a competitive disadvantage with countries around the world.”
We just spent several hundred billion dollars on research and development to help whom? Producers. To ensure that America can be competitive in the global economy. On the one hand, we tell manufacturers: “We want to help you become more competitive.” On the other hand, we say, “We will take away one of the benefits that encourages investment and growth.” By the way, we are not alone in this – all other developed countries in the world also offer some kind of premium amortization. In fact, we are already below average among the world’s most developed countries – we offer less than they do. This puts us at a competitive disadvantage also in relation to countries around the world. It’s just the wrong thing to do at the wrong time.
Senator Chuck Grassley (R-Iowa):
“Completely inconsistent in so many areas of what the Democrats said they want us to run this Congress.”
Think of the inconsistency of Democrats always complaining about wealth and the lack of taxation from the very rich. And then you give big bonuses to people who can afford to buy [electric] cars for $ 80,000, which adds one percent to their wallet, which they complain about not paying the “fair share” of taxes. So not only is this a bad policy, it is completely inconsistent in so many areas of what the Democrats have said they want us to run through this Congress.
Senator John Barrasso (R-Wyoming):
“We should be doing things to bring inflation down and reduce its impact on American families. It is not it.
This legislation ignores the main concerns of the American people – the crisis at the border, the crushing inflation that people live with, the crime in the cities … That’s why two-thirds of Americans say the administration and the Democrats are focusing on the wrong thing. We should be doing things to bring inflation down and lessen its impact on American families. It is not it.
Senator John Thune (South Dakota):
“$ 80 billion to allow the IRS to harass companies nationwide.”
The Democrat bill significantly increases IRS funding: $ 80 billion for 87,000 new employees. Think about it – it literally doubles the size of the IRS. Why? In order not to improve taxpayer services, only four percent go to improving taxpayer service. This allows the IRS to harass companies across the country. The analysis also shows that it is hitting disproportionately hard at people and companies earning less than $ 400,000 a year.
Senator James Lankford (R-Oklahoma):
“Basic Economy – When you tax more, the price goes up.”
Exactly when we have problems with the supply chain, when we have more and more challenges with our production, and when we try to encourage more production to the United States, they raise taxes on production in the United States. So it does not lower inflation, it does not lower the deficit, it penalizes production, unless you do green energy. If you are making green energy, you are protected. Basic economics says when you tax something more, the price of it will go up. They tax production – especially US production – more, prices will go up, which will increase inflation, that’s essential.
“This is an anti-Indian law.”
The median household income in Indiana is $ 58,000. Under this plan, only next year, families in this income bracket in my state will see a $ 2 billion tax increase. I’m here for these families. I speak for these families. They are upset. They consider it absolutely absurd. We are the country with the largest production in the country. As we have heard, these rules will hit our producers. This is an anti-Indiana law.