Last Updated on November 2, 2020
Kamala Harris took to the stage at a recent rally in McAllen, Texas, and told he largely Hispanic crowd that the first thing that will happen under a Biden administration is the repeal of the Trump tax cuts.
“I promise you this, as a first order of business, Joe Biden and I are about to work to get rid of that tax cut,” she said.
"Joe Biden and I are about to work to get rid of that tax cut," Kamala Harris tells Hispanic Americans. pic.twitter.com/BT9sTqsDfK
— Trump War Room (@TrumpWarRoom) October 30, 2020
Democrats and the Biden Campaign have routinely mischaracterized the impact of the Tax Cuts and Jobs Act of 2017 (TCJA), claiming the package gave huge tax breaks to the rich while ignoring the Middle Class.
In fact, the TCJA – commonly referred to as the Trump tax cuts, gave a substantial amount of relief to the Middle Class while actually raising taxes on the highest tax bracket.
The cuts almost doubled the standard deduction for singles from $6,350 in 2017 to $12,000 in 2018; virtually doubled the standard deduction for married couples from $12,700 to $24,400; and raised the child tax credit from $1,000 in 2017 to $2,000 in 2018.
Conversely, the President’s tax cuts raised taxes on the wealthiest people in the country by capping the ability to deduct state and local taxes from reported federal income to $10,000. Prior to the TCJA, the rich were able to deduct the total amount of their local and state taxes from their federal income tax liability.
In effect, getting rid of the Trump tax cuts would kill the deductions that working people and families can now take almost in half. It would be a massive tax increase. For a federal incomes tax bracket of 20 percent, that would be an annual tax increase of around $2300.