Tax policy has an impact on the economy. Utah Rep. Blake Moore, the vice chairman of the Republican Conference, and Treasury Secretary Janet Yellen could at least agree on that much.What they couldn\u2019t see eye to eye on was the type of tax policy that brings economic benefits; is it former President Donald Trump\u2019s existing tax framework, or President Joe Biden\u2019s proposed one?Moore, a Republican who represents Utah\u2019s 1st District, said he heard from his Democratic colleagues about the \u201cstrong\u201d economic recovery after the pandemic, but they forgot to mention that the Tax Cuts and Jobs Act of 2017, the provisions of which are mostly set to expire in 2025, served as a building block in the recovery.The Utah congressman noted he wasn\u2019t an elected official at the time this tax policy became law, so it wouldn\u2019t be \u201cboasting\u201d to tout its successes.\u201cWhen Democratic control took over in 2021, there was massive spending but the same tax code, the same tax rates, still existed,\u201d he said. \u201cWe have seen a strong economic recovery, unemployment is low, and I can absolutely point to the fact that we have had a consistent (and) simpler tax code that strengthened the middle class … since 2017.\u201dCiting a book titled \u201cNever Split the Difference: Negotiate As If Your Life Depended On It,\u201d Moore pointed out the corporate tax went from 35% to 21% because of the Trump-era cuts. Biden has proposed hiking it up to 28%. \u201cIt almost feels like lazy to me,\u201d he said, adding it appears as if Biden is trying to simply \u201csplit the difference.\u201dThe Biden administration\u2019s proposed budget included $3 trillion in tax increases for billionaires and corporations to help bring down the national debt.Apart from these hikes, the White House also wants to expand \u201cthe Earned Income Tax Credit, Child Tax Credit, and Low-Income Housing Tax Credit,\u201d as well as tax credits for health insurance premiums, as Yellen said in her written testimony.\u201cThe Joint Committee on tax has shown that most of the cost of a 28% corporate tax rate would be borne by Americans making less than $500,000,\u201d Moore said, asking Yellen, \u201cWhat specific analysis can you point to demonstrating that raising the corporate tax rate won\u2019t impose burdens on low- and middle-income Americans?\u201dYellen responded that all the analysis she\u2019s familiar with concludes the Trump-era tax cuts \u201cdisproportionately benefited the wealthy and large corporations, and the corporate tax could enrich corporate shareholders at the expense of your alternative, which would have been benefits to middle-class families.\u201d\u201cIt promised an investment boom that certainly never materialized,\u201d said Yellen, before Moore cut her off: \u201cI don\u2019t believe you can argue (that), and if you want to come to Utah\u2019s 1st District, you can hear from companies in that district where the real wage income grew for their frontline employees.\u201dYellen acknowledged that some wage earners benefitted from the Trump tax cuts but the high income earners benefitted more overall. Moore pushed back, saying, \u201cThat hasn\u2019t been my experience talking to actual companies in my actual district.\u201dHouse Ways and Means Committee Chairman Jason Smith, R-Mo., also criticized Biden\u2019s tax plans during the hearing.\u201cInstead of allowing families hit by these high prices to keep more of their hard-earned money, President Biden wants the highest tax increase on families and small businesses in American history,\u201d Smith told Yellen, according to The New York Times.Biden has time and again promised to let the 2017 tax cuts expire. \u201cDonald Trump was very proud of his $2 trillion tax cut that overwhelmingly benefited the wealthy and biggest corporations and exploded the federal debt,\u201d the president posted on X last week. \u201cThat tax cut is going to expire. If I\u2019m reelected, it\u2019s going to stay expired.\u201dBut the Trump tax cuts led to lower taxes for Americans in almost every tax bracket. If they expire, does that mean higher taxes for the average American? According to the Times report, Yellen said, \u201cThe president has been very clear that no family earning less than $400,000 will face a tax hike.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Tax policy has an impact on the economy, with Utah Rep. Blake Moore and Treasury Secretary Janet Yellen disagreeing on whether former President Donald Trump’s tax framework or President Joe Biden’s proposed one is more beneficial. Moore argues that the Tax Cuts and Jobs Act of 2017 helped strengthen the economy, while Yellen believes the Trump-era tax cuts disproportionately benefited the wealthy. Biden has proposed raising the corporate tax rate to 28%, with the administration aiming to increase taxes for billionaires and corporations to reduce the national debt. Yellen assures that families earning less than 0,000 will not face a tax hike under Biden’s plan.<\/p>\n","protected":false},"author":6,"featured_media":10287,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"Default","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[1521,5800,6393,492,3397,4461,1766,4039,5663,1240,5702,33,2542,4498,4919,5099,8099,898,166,7846,5121,26,5596,2459,8314,210,3895,658,6654,7905,2294,3398,1823,7818,2753,28,756,4770,5679,4179,8180,2628,4842,393,5175,4833,4843,3360,1670,1033,5115,4620,1022,3603,3480,1817,1065,3778,3358,4847,4343,3359,4918,4556,5680,1183,2503,973,841,31,4928,457,165,6305],"class_list":["post-10286","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-other","tag-1521","tag-americans","tag-analysis","tag-biden","tag-biden-administration","tag-billionaires","tag-budget","tag-building","tag-chairman","tag-clear","tag-committee","tag-companies","tag-conference","tag-corporate-tax","tag-corporate-tax-rate","tag-corporations","tag-credit","tag-debt","tag-donald-trump","tag-economic-benefits","tag-economic-recovery","tag-economy","tag-families","tag-family","tag-framework","tag-health","tag-hearing","tag-history","tag-housing","tag-impact","tag-income","tag-income-tax","tag-increase","tag-insurance","tag-investment","tag-jobs","tag-joe-biden","tag-large-corporations","tag-law","tag-middle-class","tag-middle-class-families","tag-money","tag-national-debt","tag-new-york","tag-pandemic","tag-policy","tag-president","tag-president-biden","tag-president-joe-biden","tag-prices","tag-recovery","tag-report","tag-republican","tag-small-businesses","tag-spending","tag-split","tag-tax","tag-tax-credits","tag-tax-cuts","tag-tax-cuts-and-jobs-act","tag-tax-increase","tag-tax-increases","tag-tax-policy","tag-tax-rate","tag-tax-rates","tag-taxes","tag-testimony","tag-treasury","tag-trump","tag-unemployment","tag-wealthy","tag-white","tag-white-house","tag-who"],"acf":{"keyphrase":"","keywords":"","sourceimg":"","country-category":""},"yoast_head":"\n