What about that $400,000 Pledge?
President Biden has consistently pledged that he would not increase taxes on households earning under $400,000, which dates to his 2020 campaign.
The pledge heavily guided the design of Biden’s tax proposals in his annual budgets, the Build Back Better Act in Congress, and the Inflation Reduction Act signed into law in 2022.
While Harris has made supportive comments about that pledge as Vice President, her boost to Democratic nominee is an opportunity to rethink the idea. The pledge has several tax policy weaknesses, including:
1. It would’ve decreased policymakers’ options to reform the tax code and increase offsets, limiting tax increases to approximately 2% of the population.
2. The pledge would’ve increased the tax code’s complexity by requiring policymakers to devise ideas about not raising taxes on most American households.
3. Vital details of the pledge remained inconsistent and unanswered, like the lack of adjustment for inflation.
By ditching this tax pledge, Harris could’ve considered more expansive policy options that are more consistent with sound tax policy, like eliminating tax expenditures to offset pro-growth tax changes related to the 2025 individual tax expirations. Besides creating options for a more rational tax policy, stepping away from the pledge would increase honesty with the American public that policy changes to rectify our inefficient tax code and dire spending situation will require alterations beyond the top 2% of revenue earners.
We like hearing from our readers. What are YOUR views regarding these Kamala Harris tax reforms? Be sure to let us know in the comments section.
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And if you liked this article on Kamala Harris tax reforms, we highly recommend you also read: Avoiding Election Scams: 5 Important Things Seniors Should Know
Where can I get som of this fertilizer for my lawn? Perfect for the fall growing season.
If ur truly believe this from the Commie two faced liar then u are as dumb as she is. She going to raise taxes on everyone including Corporations which in turn will pass along higher prices to consumers. They not going to lose money. She also tax the hell out of ur 401k u been saving for years to retire. Oh and her 25k to buy a first or a house program she suggests will not apply to 90% of Americans w that little loophole fine print unless u are an illegal. U will get it
Vote Trump & send this craphile back to wherever
Simple flat income tax rate across the board takes all the loop holes and “make taxes fair” which should be the only position anyone should take. Does kamala disavow her father’s Marxist beliefs,unlikely. America is not and should never become a Marxist nation. Want to see unfair look at Marxist and communist countries at the lower income levels. There is no true middleclass in socualist communist or Marxist countries and kamala beliefs will do nothing but bankrupt the country. Why are people so happy thinking about going after the large companies and corporations being taxed more than everyone. And this offshore residents tax is a learned behavior this woman learned in California they are coming after residents that left California for more taxes because we moved. Everyone has an opinion and this is mine just being black doesn’t qualify you to be president anymore than being a girl does. TRUMP 2024
Does anyone really think any of this is HER idea?
A gains tax would destroy home ownership. It would result in massive increase in homeless people. It would also destroy manufactiuing and then our economy. Note: federal tax was 10% for the lowest income under Obama administration but increased to 12% under Biden_Harris administration. So much for helping the lower income, middle class. Moreover, socialism has been tried and failed in every country (even Russia) . Harris’ plans will create chaos and destroy America.