A top Biden aide highlights a coming showdown with GOP over 2017 tax cuts that are due to expire

[BumRushDaShow]

Source: AP

Updated 7:52 AM EDT, May 10, 2024


WASHINGTON (AP) — The Biden White House wants voters to know about its differences with Republicans over taxes, with a top aide making the case for higher rates on corporations and the ultra-wealthy. Lael Brainard, director of the White House National Economic Council, will deliver remarks at the Brookings Institution on Friday that get at the major tax challenge for whoever wins the November presidential election.

Many of the 2017 income tax cuts signed into law by then-President Donald Trump are set to expire after next year. If all the tax cuts expire, the vast majority of U.S. households would see their payments to the IRS increase. But if all the tax cuts are extended, another $4.6 trillion would be added to the national debt over the next decade, according to the Congressional Budget Office.

Trump, a Republican, says tax increases would destroy the U.S. economy. But President Joe Biden, a Democrat, wants to extend the middle-class tax cuts while raising taxes on highly profitable companies and the richest sliver of Americans.

“The expiration of Trump’s 2017 tax package next year will put tax fairness front and center,” Brainard plans to say, according to draft remarks obtained by The Associated Press. “The president is honoring his ironclad commitment to not raise taxes on anyone making less than $400,000 and will cut taxes further for workers and families, paid for by asking corporations and those at the top to contribute more.”

Read more: https://apnews.com/article/biden-trump-tax-taxes-brainard-8380c835515aa1f855be6e665d530bed

[no_hypocrisy]

1. Stress the Deficit.

Cut the Deficit by allowing the tax cuts to expire

[jimfields33]

3. That would be a disaster.

People’s taxes would go up a lot. Just the standard deduction would be cut in half.

[Traurigkeit]

8. ONLY the RICH Corps and BILLIONAIRES will "suffer" ------ bastards

[jimfields33]

2. Did president Biden put a mandatory 15 percent tax on all wealthy corporations?

We should have that money to offset any deficit from extending the middle class tax breaks. Of course adding more taxes then 15 percent would not hurt as well.

[BumRushDaShow]

4. That 15% AMT was included in the Inflation Reduction Act

https://www.irs.gov/newsroom/irs-clarifies-rules-for-new-corporate-alternative-minimum-tax

[jimfields33]

5. Excellent. That's fantastic!

That money can be used to pay for extending the middle class cuts. That has to be done. President Biden has foresight for sure.

[multigraincracker]

6. Easy way to balance the budget.

Outlaw lobbyists.

[HandmaidsTaleUntold]

7. Small Businesses

I own a small business that barely makes it. Would these tax cuts terminating affect me?

[Traurigkeit]

9. NO

[Emile]

10. Only if you have over 500 employees.

[HandmaidsTaleUntold]

11. Under 10 lol

[Deminpenn]

12. Read up on what expires and it's not that bad for regular folks

That $10,000 cap on SALT goes away.
Personal exemptions return rather than being set to 0.
The standard deduction returns to 2017 level adjusted for inflation.
Itemizing deductions should make a comeback for many filers.
The mortgage deduction reverts to 2017 rules.

While the marginal tax rates go up, it's only by a couple percentages like 12% to 15% or 22% to 25%.

It's probably going to be close to a wash and with the SALT cap lifted, will probably be better for those in high cost areas like CA, NYC, DC, etc.