Tax reduction to benefit middle class families

September 22, 2021

On September 17, 2021, commented on the tax reduction in the United States.

1. Tax reduction

According to U.S. President Joe Biden, he will make a tax reduction that will benefit some 50 million middle-class families, while raising taxes for the wealthiest.

2. Current situation

Joe Biden stressed that the country is now faced with the choice of continuing as it has been with large corporations benefiting “overwhelmingly” from the growth of the economy or going down a new path that favors everyone.

Biden pointed out that in the past there were company executives who were paid 20 times more than their employees, while today they are paid 350 times more.

3. Wealthiest taxpayers

Likewise, the aforementioned president denounced that it is estimated that the richest, who are the 1% of taxpayers, evade some 116,000 million dollars to the Treasury and that he intends to put a stop to this by allocating more resources to the Internal Revenue Service (IRS) to review bank accounts.

Three days ago, Democrats on a House committee proposed a tax hike for the wealthiest and for companies making more than $5 million a year.

4. Expectations

Democrats hope the tax hike will raise $2.9 trillion over 10 years to pay for Biden’s $3.5 trillion social spending program that his party wants to pass in Congress before the end of the month. That plan has yet to be drafted and several congressional committees are now looking at exactly what to include in it.

Source: 20/09/21