If one was truly cynical they could surmise that the spreading of government payments and subsidies across nearly all income levels was a matter of buying votes and establishing never ending dependency on those running government, often with the illusion of it all being free.
If it were otherwise, why isn’t assistance targeted at those in need and designed to help those individuals gain greater personal independence and why not consider one’s liquid assets in the eligibility criteria?
The following is summarized from the following Wall Street Journal article. Entitlements for the Affluent.
• The expanded child tax credit has become a monthly government check that transfers large sums of money from childless taxpayers to financially secure middle-class families. A married couple making $150,000 a year with four children (two under the age of 6, two above) would qualify for $13,200 a year. [a couple earning $400,000 can also receive a tax credit]
• A new entitlement caps child-care costs at 7% of income and was initially limited to parents making up to 200% of their state’s median income. But progressives elimimitated the cap in committee so it would cover wealthier voters. The entitlement is now universal.
• Democrats also want paid family leave—about two-thirds of average wages for up to 12 weeks a year for any family care. In the case of new-borns both parents would be entitled to leave. This means a married couple with a newborn—each earning $200,000 – could each collect more than $1,000 in weekly benefits. A couple making $100,000 each would be eligible for roughly the same amount.
• This spring’s Covid bill eliminated the income cap (400% of the poverty level) on who qualifies for subsidies under Obamacare. A family of five with a 60-year-old head of household in Prescott, Ariz. could earn $350,000 a year and still qualify for an Obamacare subsidy of $21,309. At $500,000 of income, that family would still get $8,559 in federal healthcare dollars.
• The pending legislation includes a new $12,500 electric vehicle tax credit. Since EVs cost between $10,000 and $15,000 more than similar gas-powered vehicles, this money will mostly flow to well-off coastal dwellers, especially in California. A couple can make $800,000 a year and still qualify for some of the credit.
• The biggest subsidy of all may be the return of the state and local tax deduction currently capped at $10,000. Only some 15% of taxpayers itemize their deductions, and most of those who would benefit from a higher cap are the affluent—again mostly in richer coastal states.
The phrase “the wealthy can afford to pay more taxes because it’s only fair” is used quite often by “progressive” Democrats. After all, how can you and I be against “soaking the rich’?
But we are all, including the poor, paying more thru the inflationary taxes.
One does not need to be cynical, just logical to see your opening paragraph is accurate.
I never quite understood why liberal college indoctrinated people were always supporting social welfare programs and demanding other free stuff. Because it is straight up vote buying. I do not qualify for those deductions so I was unware of the particulars. It has always upset me that a program is for people up to 150% of the poverty level but 400%? If you can’t afford your children, don’t have anymore. Maybe the government should offer free birth control instead.
To me, if the federal minimum wage is $7.25 / hr which equals $15,080 / year, then the government has set the poverty level at $15,079 / yr. If the true need is 400% of the poverty level then the minimum wage should be $29.00 / hr. or $60,320 / yr. No wonder why 50% of the people don’t pay income taxes.
Democrats keep wanting to tax the rich. Getting rid of the SALT exemption cap will stop taxing the rich. If your local property taxes are too high then your city and state have a spending problem. If you can’t afford your mortgage and taxes, then you better move to more affordable housing. Why should I pay someone else’s share of income taxes because they chose to buy an expensive house and have to pay more property tax than I do?
Where are all the people that complain it’s not fair now?
The expansion of handouts is the path to a European welfare state model for the US. Once the handouts are entrenched policy, the need for all sorts of new taxes become apparent. The VAT and other like taxes that will fall on all the people (not just the over 400k per year crowd). Change is coming fast and furious.
That is exactly right. But too many people are willing to believe only someone else will pay.