In case you’re wondering, you are being lied to pretty much on a continuous basis by the liberal media about the recently passed GOP Tax Plan. The Democrat members of Congress that are screaming like Chicken Little are being widely parroted by their sycophants in the media. In case you are in the mood for a little truth, here it is:
- The doubling of the standard deduction from $12,000 to $24,000 for joint filers and the doubling of the tax credit for each child from $1,000 to $2,000 are directly targeted to the middle class. Come February, a lot of paychecks will grow.
- Cap of up to $10,000 on state and local tax deduction (SALT). This won’t change anything for most lower and middle income tax payers but will definitely hit higher income tax payers.
- Threshold for mortgage interest deduction lowers from $1 million to $750,000 so this will almost exclusively benefit lower income and middle class homeowners.
- Manhattan Institute’s Brian Riedl points out, “The bottom 80 percent of families currently pay 33 percent of all combined federal taxes, yet will get 35 percent of the tax cuts. By contrast, the top 1 percent currently pays 27 percent of all federal taxes, but will get just 21 percent of the tax cuts. This means the share of all federal taxes paid by upper-income earners will slightly rise.”
- In 2018, 80.4 percent of tax payers get a tax cut, averaging $2,140. A grand total of 4.8 percent will see a tax increase. The small percentage of people who will get a tax increase is disproportionately tilted toward the top of the income scale.
Despite these facts, the liberal media keeps lying about the tax cuts. “One-Third of Middle Class Families Could End Up Paying More Under the GOP Tax Plan” writes CNN. The Associated Press says, “BREAKING: House passes first rewrite of nation’s tax laws in three decades, providing steep tax cuts for businesses, the wealthy.” Google “Tax Cut” and you will be bombarded with one news site after another parroting the Democrat Party line that this will be horrible for the middle class and will only be cheered by the rich and corporations.
So why are the liberal media lying about the fact that this tax cut will be a great help to the middle class? The answer is pure, plain old politics. In a Quinnipiac University poll released last week, a majority of people said they saw the plan negatively, with only about 16 percent saying they believe it will lower their taxes. People thinks negatively about the tax cuts because that’s what they are being told to believe by the media. They need to diminish the popularity of this tax cut as much as possible while it’s fresh in the public mind. Sure, people will notice the changes as they positively affect them in their personal finances but that will have minimal impact if the media can establish the narrative that the tax cuts are bad for the country as a whole.
Unfortunately for Democrats and the liberal media (I know, there is no difference between the two), major corporations all over the country almost immediately started proving them wrong.
“Boeing, saying the new law ‘boosts Boeing’s competitiveness,’ announced it will move up an additional $300 million of investments, dedicating $100 million to corporate giving; $100 million for worker development; and $100 million to enhance the company’s facilities.
“AT&T said it will increase its U.S. investments next year by $1 billion, plus pay a $1,000 bonus to some 200,000 employees. Comcast CEO Brian Roberts, explicitly citing tax reform and the FCC’s decision to end net-neutrality, pledged a $1,000 bonus to about 100,000 employees and vowed to invest ‘well in excess’ of $50 billion over five years.
“Wells Fargo and Fifth Third Bancorp said they would increase their minimum wage to $15 an hour, with Fifth Third also throwing in a $1,000 bonus for 3,000 hourly workers. Nexus Services is giving a 5% pay raise to its employees and hiring 200 more…
So hundreds of thousands of American workers are seeing immediate positive responses to the tax cuts. These are by and large middle class workers with middle class families living in middle class neighborhoods. I wonder how many of them didn’t vote for Donald Trump and are now celebrating his actions? Do the liberals think these people will be fooled by the liberal media?
Don’t believe the lying media. They are not objective reporters. They are partisan hacks with press passes.