{"id":156161,"date":"2024-04-30T12:57:47","date_gmt":"2024-04-30T16:57:47","guid":{"rendered":"https:\/\/valorguardians.com\/blog\/?p=156161"},"modified":"2024-04-30T12:57:47","modified_gmt":"2024-04-30T16:57:47","slug":"joe-bidens-proposed-tax-hike-proposal-is-based-on-racial-criteria","status":"publish","type":"post","link":"https:\/\/www.azuse.cloud\/?p=156161","title":{"rendered":"Joe Biden’s proposed tax hike proposal is based on racial criteria"},"content":{"rendered":"

\"\"<\/a><\/p>\n

One of Team Biden’s plans to ease racial wealth inequality involves targeted tax hikes on capital gains and on income associated with Whites. A Treasury Department report claimed that White families disproportionately are in a higher tax bracket due to their income. They also disproportionately hold assets impacted by capital gains taxes. By taxing these assets, they could benefit Hispanic and Black families.<\/p>\n

From the Daily Caller:<\/strong><\/span><\/p>\n

The Biden administration argues for taxing capital income for high-income earners at “ordinary rates,” increasing the top rate from 37% to 39.6% for those who earn more than $1 million a year. Taxes on net investment income would also be hiked by 1.2 percentage points to 5% for those who make over $400,000 per year, bringing the total top marginal rate to 44.6%.<\/p>\n

“Taxing capital gains at 44.6% at the federal level — not to mention state taxes — would be economic suicide,” Preston Brashers, research fellow for tax policy in the Heritage Foundation’s Grover M. Hermann Center for the Federal Budget, told the Daily Caller News Foundation. “Before the tax ever took effect, investors would rush to pull their money out of equities subject to such exorbitant tax rates. U.S. businesses would be starved for capital, and business activity would slow to a crawl. Ultimately, corporate income and capital gains income would fall off a cliff, so the net result would be less tax revenue, not more. The middle class and working class would be slammed with mass layoffs and lower real wages.”<\/p>\n

The Treasury estimates that white families are the recipients of 92% of the benefits of preferential rates on capital gains and qualified dividends, compared to 2% and 3% for Hispanic families. Only 0.4% of white families, less than 0.05% of black families and 0.1% of Hispanic families will be affected by the proposed rule change on capital gains.<\/p>\n

“So, if President Biden’s goal of redistribution is to make the rich poorer, his proposal would be successful,” Brashers told the DCNF. “But if the goal is to lift up the middle class, the plan would fail spectacularly. Note, even the Urban-Brooking Tax Policy Center use estimates that imply that the revenue-maximizing long-term capital gains rate is about 28%, so it’s clear that Biden’s proposal is on the wrong side of the Laffer curve.”<\/p><\/blockquote>\n

The Daily Caller provides additional information here<\/a>. The report is available here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

One of Team Biden’s plans to ease racial wealth inequality involves targeted tax hikes on capital … Joe Biden’s proposed tax hike proposal is based on racial criteria<\/span>Read more<\/a><\/p>\n","protected":false},"author":661,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[238,613],"tags":[],"class_list":["post-156161","post","type-post","status-publish","format-standard","hentry","category-government-incompetence","category-joe-biden"],"_links":{"self":[{"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=\/wp\/v2\/posts\/156161","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=\/wp\/v2\/users\/661"}],"replies":[{"embeddable":true,"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=156161"}],"version-history":[{"count":0,"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=\/wp\/v2\/posts\/156161\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=156161"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=156161"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.azuse.cloud\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=156161"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}