Advocating for You / Small Business / Taxes

The Socialist $3.5 Trillion ‘Spend-A-Thon’ Will Impact the Average American

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WASHINGTON, DC, Aug 10 — The Association of Mature American Citizens [AMAC] has launched a campaign to kill a $3.5 trillion mega-bill that “ultra-progressive” democrats in Congress seek to pass without Republican support. Their plan is to first pass a budget resolution to set up “reconciliation,” a special provision that allows Democrats to pass progressive priorities without Senate Republican support. That would enable them to subsequently enact the spending bill without the fear of a filibuster.

“The amount of spending the government has proposed is unsustainable. It will leave the American people with higher debt, insurmountable inflation, and increased taxes. Furthermore, it does not address the current issues that must be fixed with Social Security or Medicare,” says Bob Carlstrom, president of AMAC Action, the association’s advocacy arm. “We’re asking our 2.4 million members to tell their representatives to take measures to undermine this deceitful ploy.” He invited them to send an email message available here.

So, what is in the spending bill? According to Carlstrom, it’s full of giveaways:

  • Two years of taxpayer-funded community college;
  • Government-mandated and funded paid family leave from private-sector jobs;
  • Extended unemployment benefits to keep workers on the sidelines and out of the workforce;
  • More government subsidies to purchase private health insurance;
  • Permanent refundable tax credits for the IRS to pay individuals more in refunds than they paid in taxes;
  • Increased taxes on small businesses that will cost jobs and close businesses;
  • Creation of a double death tax on top of the existing death tax;
  • Increased taxes on individuals to further slow economic growth.

In addition to pricey programs, Politico says that the spending bill will also help progressives to create the means for illegal immigrants known as Dreamers, those who have temporary protection and farmworkers to become citizens– and voters.

“Lawmakers like House Budget Chair John Yarmuth (D-Ky.) are worried, however, that the policies can’t be included in a reconciliation package, due to the special budget rules that guide the filibuster-proof process.”

In addition, Politico notes that “The push comes as the Biden administration has failed to rally enough support, even among Democrats, for the president’s sweeping plan to revamp the U.S. immigration system for the first time in more than three decades.”

There’s been a lot of boasting and bragging going on since the Democrats announced their spending plan, but not enough discussion of how the Biden administration will come up with the funds to pay for all of the spending plan’s bells and whistles.

“They say that the funding will come from hiking the taxes on the rich and corporations so that they won’t have to increase the taxes on the average worker. In fact, they already have a plan to increase the corporate tax rate to 28% from 21% and a nearly 100% hike in the capital gains tax, from 23.8% to 43.4%. But the reality is that there will be a trickle-down effect on all of us,” says AMAC’s Carlstrom.

He notes that yesterday the U.S. Senate Committee on Finance issued a new analysis by the non-partisan Joint Committee on Taxation (JCT) showing that middle-class Americans will be among the hardest hit by corporate tax hikes. The analysis concluded, “that increasing the corporate tax burden would disproportionately harm U.S. workers, retirees and small businesses, including 1.4 million small business C corporations and the 98 percent of Americans who earn less than $500,000.”

Carlstrom also cites an analysis produced by the National Association of Manufacturers [NAM], which shows that such plans will hurt the economy, in general, and result in a loss of a million jobs in just two years. The NAM report states that “the average annual reduction in employment would be equivalent to a loss of 600,000 jobs each year over 10 years.”

He says the corporate taxes proposed by the Democrats will have a decidedly severe impact on the backbone of America’s economy, small businesses, and the Tax Foundation agrees.

The Foundation says, “policymakers should recognize that corporate tax hikes will not only impact large firms but many smaller and younger firms as well. Considering that many of these smaller firms are significant contributors to net job growth, rising corporate taxes at this time would not be conducive for a speedy economic recovery.”

And then there is the report of House Ways and Means Committee published in May that exposed a plan by Democrats to do away with “a longstanding provision of U.S. tax law, in place since the Revenue Act of 1921.” It states that when assets such as farms, factories, and other small businesses are transferred at death to an heir, a capital gains tax is not imposed. In other words, they seek to impose a second death tax.

Based on an analysis by the Family Business Estate Tax Coalition, it shows that:

  • Such a supercharged second death tax would harm workers, killing “80,000 jobs in each of the first ten years, and 100,000 jobs each year thereafter.”
  • For every $100 of revenue raised by repeal via tax at death, the wages of workers would decline $32. Nearly one-third of every dollar of revenue raised comes out of the paychecks of U.S. workers.
  • It would decrease US GDP by $10 billion annually or $100 billion over 10 years.
  • And it would gravely harm family-owned businesses with significant financial and administrative problems, “limiting the business’ viability as an ongoing concern.”

In conclusion, AMAC Action’s Carlstrom says, “So much for the notion that we shouldn’t be concerned about the idea of spending $3.5 trillion to pay for progressive socialist giveaways. The economic menace of the Biden administration is real, and it reaches Americans in all walks of life. It’s noteworthy that since he took over in the White House, backed up by progressive socialist wannabes, we’ve seen rampant inflation — the kind that makes it hard and, in some cases, undoable for an average family to pay their bills and purchase the essentials. Inflation has gotten so out of hand that 83% of Americans are feeling the pinch. So much for the myth– no, the lies being spread by Schumer, Pelosi and Biden that the average American won’t have to pay for their spend-a-thon; the rich will pick up the tab.”

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Sharon
3 months ago

Requiring that all who receive federal grants cannot restrict participation by or hiring of whoever with whatever values or practices is one negative part of this outrageous bill. But I also read that hidden within this bill is the authorization for the feds to tax drivers per mile driven.

Hal
3 months ago
Reply to  Sharon

That is ridicujlous to try to establish a fair and honest system to track milage usage. I’m still irritated about Bill Clinton’s gasoline tax which I think is unreasonable and well more than sufficient to tax drivers of vehicles.

MariaRose
3 months ago

None of us here voted for any of this and as members of the senior population, none of us want the benefits we currently have (whatever amount) to be taken away or disappeared because there’s no funding left.

Felix
3 months ago

What are they going to do if the printing press printing all these dollars breaks?

Max
3 months ago
Reply to  Felix

Send the paper and Treasury plates to China for printing. Hyper inflation is the name of the game.

David Spade
3 months ago

The O’Biden administration and Marxist Democrats in Congress are simply turning a blind eye to the realities of economics for their own leftist priorities. They certainly have access to economic experts that can prove that this spend and tax policy is unstainable and dangerous for the average American. Inflation is going into to over-drive, taxes are going to go up for everyone….everyone! The administration or the Marxist Democrat “leaders” in Congress don’t even speak of the financial or social costs of the open boarder. What have these elected people done for the betterment of the United States? I would suggest that these “leaders” have nothing but disdain for the average American.

Judi
3 months ago
Reply to  David Spade

Oh they aren’t turning a blind eye. They know exactly what they are doing.

Felix
3 months ago

The Dems with the backing of the MSM have by passed socialism and embraced Communism!

Bill
3 months ago

This boondoggle, like everything else coming from the Barack Hussein CCP administration for the last thirteen years is meant to destroy the U S capitalist system and our entire country as we have known it. The only surprise most citizens seem to not know what is happening.

R Bart
3 months ago

I am usually glad to sign AMAC petitions but I will sign no petition which adds the requirement for a phone number.

Hal
3 months ago
Reply to  R Bart

Amen. I am already receiving an average of 4 or 5 unsolicited phone calls per day … which more than an annoying inconvenience.

Max
3 months ago
Reply to  Hal

A second Amen. Our household is receiving the type of calls that usually start right after we get off the phone. I do like it when the market person starts talking to my answering machine thinking they are talking to a live person, then realize they have been duped.

Art
3 months ago

SIGN IT AND READ WHAT IS IN IT LATER. 50% OF THE SHEEPLE ARE FENCE SITTERS. 30% DON’T CARE OR KNOW. LEAVES 20% TO GIVE A DOSH GARN. FACE THE MENACE! BECOME A 20% MEMBER.

Stephen Russell
3 months ago

Nothing for energy production & beware dble death tax etc

Jeff
3 months ago

Our future can be seen in Zimbabwe. Cuba, Venezuela and every other failed centrally planned state.

Nick Patriot
3 months ago
Reply to  Jeff

Absolutely correct, sir. I didn’t fall for some of the hopeful banter on this forum from members that just didn’t want to believe their eyes and ears. The sad truth is the 18 or 19 so called republicans voted with the commies. There is no opposition party anymore in our country. Goodbye to the USA. Weep not for yourselves but your children and grandchildren.

Jim Jolly
3 months ago

WRONG! You raise taxes on Big Business they will move back out of the United States and there will be far less taxes. The rich will move money or hide money so there goes more taxes. You would like to believe that Schumer, Pelosi and Biden could see this but the truth is THEY DON’T GIVE A SH*T. With all the perks they receive, it will not hurt them a bit. If they loose their seat they will just become Lobiest and make millions more. God Bless the Democrats because Satin has a good hold.

PaulE
3 months ago

This is a good, partial list of what is in the current iteration of the Democrat’s so-called “Human Infrastructure” bill. However, there are several other items buried within the sub-categories of this bill that are not mentioned at all, but will add to the far reaching, permanent effects on this country. If this bill is passed and signed into law, more than 50 percent of the American economy will be under direct control and influence of the federal government. In simple terms, we become a majority socialist economy within less than a year of the Biden administration taking power.

Also, the bill was scored by two separate economic groups a few weeks back and the actual cost of this bill is more accurately estimated at between $5.5 trillion and $6 trillion dollars based on what the bill looked like back then. So I would hope AMAC stops repeating the inaccurate number of $3.5 trillion dollars that the Democrats keep using. With the Democrats still plugging in items this week, I would say it is safe to say that the cost of this bill went up and NOT down from those scored values.

Bill on the Hill
3 months ago
Reply to  PaulE

That is a safe assumption Paul… How many of those ( 18 ) RINO’s actually read this bill all the way through, another safe assumption would say ZERO… However had they read it, the final outcome would be the same, which is why they all need to be GONE… America First, not America last…
Bill on the Hill… :~)

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