You're Probably Getting Screwed by Republican Tax Plans

Last month, after 14 failed ballots—the most since 1860—Republican Kevin McCarthy was officially elected speaker of the House. In his struggles, he promised a group of 20 hard-right holdouts in order to win the speaker's gavel many things, one being the Fair Tax Act. This bill would: 1) scrap the Internal Revenue System 2) scrap the entire U.S. taxation system 3) replace it all with a 30 percent national sales tax.

Opposition to the 30% sales tax is bi-partisan: Democrats are against it but so are several traditional enthusiastic conservative tax-cutters, like the Wall Street Journal editorial board, Grover Norquist and National Review editorial saying:

“Any House Republican who backs this bill can accurately be accused of voting for … raising the price of everything by a huge amount at a time when inflation is already high; shifting more of the tax burden to the middle class; instituting a large new wealth tax on senior citizens; increasing federal spending by a massive amount; increasing the deficit; and creating large black markets.”That’s what happened this week in the Iowa House with a School Vouchers bill.

COURIER @CourierNewsroom

House Republicans want to impose a 30% national sales tax — shifting more of the tax burden to working families. COURIER’s @JDScholten breaks it down:

7:02 PM ∙ Feb 3, 2023

A 2004 study of a similar proposal stated that the poorest 80 percent of Americans would face net tax hikes from the proposal while most of those among the richest 20 percent would enjoy net tax cuts.

Using the IRS as an entity that’s going to “come after you” is becoming more common with Republicans. 

Sen. Rick Scott (R-Fla.) warned job seekers not to apply to the IRS because “you not only need to audit and investigate your fellow hardworking Americans, your neighbors and friends, you need to be ready and, to use the IRS’s words, willing, to kill them.”

Sen. Chuck Grassley (R-Iowa) wondered whether the IRS is “going to have a strike force that goes in with AK-15s already loaded, ready to shoot some small business person in Iowa?” 

Both statements are not only bizarre but they’re intended to mislead you into thinking the IRS is going after the middle class or small businesses. 

The reality is, according to a 2017 study, you’re more likely to get audited if you make less than $20,000 a year than if you make 20 times that…

The 30% national sales tax, the 2017 Trump tax cuts (the ones that helped the super-rich pay a lower rate than the bottom 50%), and these attacks on the IRS can all be summed up as this: Republicans want to give tax breaks to the super wealthy and corporations and they want you to pay for them!

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YOU’RE PROBABLY (ALSO) GETTING SCREWED BY:

BILLIONAIRES

Public Citizen @Public_Citizen

Billionaires’ election spending before Citizens United: 2008: $16,000,000 2010: $31,000,000 Billionaires’ election spending after Citizens United: 2012: $231,000,000 2014: $231,000,000 2016: $682,000,000 2018: $611,000,000 2020: $1,200,000,000 It never had to be this way

8:53 PM ∙ Jan 21, 2023

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WALL STREET BANKS

Major Wall Street banks are making billions from the Federal Reserve’s efforts to fight inflation, while American consumers are loading up on credit card debt and falling behind to pay for necessities.

UNION PACIFIC

More Perfect Union @MorePerfectUS

UPDATE: Union Pacific, one of the railroads that successfully fought off workers' demands for paid sick days, announced a record $7 billion profit. The company said it spent $1.7 billion more on stock buybacks in 2022 than on pay and benefits for all of its employees.

8:16 PM ∙ Jan 26, 2023

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HEALTHCARE

This episode of NY Times The Daily about how nonprofit hospitals put profits over patients is fascinating and frustrating!

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Standing Tall for All,

J.D. Scholten