Democrat President Joe Biden has hinted that Americans already struggling with an inflation crisis can expect looming major tax hikes if he’s re-elected in November.
An increase in taxes would come despite the high inflation rates that have defined Biden’s presidency.
Biden announced the plan in a post on X this week.
He revealed that he plans to end tax cuts that were brought in by President Donald Trump.
However, Biden falsely claims that the tax cuts only benefit “the wealthy and biggest corporations.”
Biden pledged that he would end the tax cut if re-elected.
In the post on X, Biden claimed:
“Donald Trump was very proud of his $2 trillion tax cut that overwhelmingly benefited the wealthy and biggest corporations and exploded the federal debt.
“That tax cut is going to expire.
“If I’m re-elected, it’s going to stay expired.”
Last month, a report from the Tax Foundation explained that Congress has less than two years to prevent “the vast majority” of Americans from getting hit with tax hikes.
The law that Biden wants to let expire is the Tax Cuts and Jobs Act (TCJA) of 2017.
The law simplified tax processes and reduced taxes “across the income spectrum,” the report said.
The report explained:
“The TCJA reduced average tax rates for taxpayers at all income levels because it lowered marginal tax rates, widened tax brackets, doubled the child tax credit and zeroed out personal and dependent exemptions, nearly doubled the standard deduction, and limited several itemized deductions and the alternative minimum tax, among other changes.
“Average rates declined across all income groups and have remained below their 2017 levels since.”
Biden’s willingness to let the law expire flies in the face of his previous pledge to not raise taxes on those who earn less than $400,000 per year.
Manhattan Institute Senior Fellow Brian Riedl blasted Biden over the move.
“Biden just endorsed a $2 trillion tax hike on earners under $400k (breaking his no-new-taxes pledge for such earners), and endorsed cutting the child credit down to $1,000,” said Riedl.
“The White House wants it every way on the TCJA:
“1) They demand to end the ‘Trump tax cuts’ – and write a budget claiming all the deficit savings from full expiration, but then also:
“2) Pledge to extend for the bottom 98%, which costs $2 trillion over the decade.”
