Biden’s Tax Plan Does Exactly What Biden Says It Does

Test ticker

Monika Bauerlein,
CEO

Dear Reader,

December is make-or-break for Mother Jones’ fundraising. We have a $350,000 goal that we simply cannot afford to miss. And in "No Cute Headlines or Manipulative BS," we explain, as matter-of-fact as we can, how being a nonprofit means everything to us. Bottom line: Donations big and small make up 74 percent of our budget this year and are urgently needed this month, and all online gifts will be matched and go twice as far until we hit our goal. Please pitch in if you can right now.

December is make-or-break for Mother Jones’ fundraising, and in "No Cute Headlines or Manipulative BS," we hope that giving it to you as matter-of-fact as we can will work to raise the $350,000 we need to raise this month. Donations make up 74 percent of our budget this year, and all online gifts will be matched and go twice as far until we hit our goal.

Joe Biden has promised that his tax plan won’t raise taxes for anyone making less than $400,000. The conservative American Enterprise Institute decided to take a look at that and see if it was true. It is:

In 2021, everyone under $400,000 pays lower taxes, while the top 1 percent pays about $100,000 more in taxes. By 2030, every income group pays slightly higher taxes (about $50 per year at the median) while the top 1 percent pays $134,000 more.

The effect of all this on economic growth is essentially zero. AEI estimates that Biden’s plan would produce a minuscule reduction in GDP over its first decade and a minuscule increase in GDP during its second decade.

In other words, Biden has told the truth about his tax plan. How refreshing and unusual in the Trump era.