Rejecting Democrat presidential nominee Joe Biden’s tax plan, Senate Finance Committee Chairman Chuck Grassley, R-Iowa, said voters should be “skeptical” of Biden’s vow not to raise taxes on those who earn less than $400,000 annually.
“Their tax reform would be tax increases,” Grassley said in a 14-minute Senate floor speech Wednesday. “If they prevail in the upcoming election, they’ll seek to reduce and undo the 2017 tax law and impose trillions of dollars in tax hikes on individuals and businesses.”
Grassley addressed the skepticism, first by saying that during the first term of former President Barack Obama and Joe Biden, the pair also vowed not to raise taxes on lower-income Americans.
“That promise was tossed out the window,” Grassley said, pointing to those lower earners who were “80%” more likely to be hit by the Obamacare individual mandate tax penalty.
Also, struggling Americans will get hit by Biden’s plan to take richer Americans because “too often, such tax gets passed along,” according to Grassley.
Biden has proposed to increase the corporate tax rate that was cut to 21% by President Donald Trump back up to 28%.
“With the bulk of Mr. Biden’s tax agenda targeted at hiking taxes on capital, the consequences then will be felt throughout the economy in the form of lower wages, fewer jobs and slower economic growth,” he added.
Finally, Grassley noted, if Republicans are voted out of both houses of Congress and the White House, the 2017 middle-class tax cuts, set for 10 years, will be completely wiped out by 2026.
“A top priority for President Trump and the Congressional Republicans has been to make permanent the middle-class tax cuts that were enacted in 2017,” Grassley said.