(TheLibertyRevolution.com)- Late on Thursday night, a last-minute adjustment was made to President Joe Biden’s radical social spending package. Congressional Democrats chose to include an additional provision that would increase the itemized deduction gap for state and local taxes, known as SALT, in a move that experts have said will actually benefit high-income earners.
Remember when Joe Biden said he would tax high-earners more and make life easier for the average working American? He definitely said it a few times…
During the Donald Trump administration, the SALT cap was $10,000. He was criticized by Democrats from the coastal states who said that the cap targeted their constituents who already had a higher cost of living for living in the states that they do.
Now that Trump is out, the Democrats are back to their old ways, helping their rich supporters out. The cap will not be raised to $80,000, making it simpler for high-income Americans to itemize property, income, or sales taxes already being paid to their local governments.
The extension is expected to last until 2030, and then reverse back to $10,000 in 2031.
That’s a long period of relief for rich folk…and would last well beyond even a theoretical second Trump administration.
Democratic legislators claimed that this was a win for “hard-working middle-class families,” but experts from the Tax Policy Center said otherwise. Only Americans in the 90th to 99th percentile are actually going to see a difference when it comes to the next tax year.
Over half of Americans who earn between $254,000 and $366,000 per year will see a tax break thanks to the new limit, while around 75% of Americans who earn between $366,000 and $867,000 will see tax reductions.
Hard-working, middle-class families? Really?