Kuster and Pappas back Biden’s plan to ‘rebuild’, adding billions in debt and benefiting illegals

But nearly every economic review of the legislation, including the Congressional Budget Office analysis they both claim to be based on, indicates the bill will add billions in new debt. And the Non-partisan Committee for a Responsible Federal Budget (CRFB) predicts the true cost of the bill to be closer to $ 5,000 billion.

This is just one aspect of the budget reconciliation bill that Kuster and Pappas helped pass in a direct partisan vote (Maine Rep. Jared Golden was the only Democratic ‘no’ vote) that received little attention from the New Hampshire media. Democrats say monthly child tax credit checks, increased health care subsidies and taxpayer-funded Pre-K for All will be popular with voters. And they might be right. But there are other details that will almost certainly appear in campaign ads next year.

ADD TO DEBT

The New Hampshire congressional delegation touted its votes when the House bill passed last week, even as the Congressional Budget Office released a report that said the $ 1 social spending bill, $ 75 trillion could increase the deficit to between $ 160 billion and $ 360 billion over 10 years, despite promises from the Biden administration. will be covered by a tax increase.

And the CRFB points out that the Democrats’ plan includes 10 years of income, but only includes spending on some of the most important items for five years – if not one. For example, the child tax credit that sends monthly checks to couples earning up to $ 150,000 costs $ 130 billion. But Democrats are only including it in their 10-year plan for just one year. Assuming that the checks don’t end in 2024 – an election year – and instead last for the entire 10 years, the real cost is an additional $ 1,000 billion. None of these amounts are paid under the current system.

BENEFITS FOR ILLEGAL IMMIGRANTS

Under the Trump administration, recipients of monthly child tax credit checks ($ 300 per child under six and $ 250 for each child aged six to 17) were required to have a Social Security number. As part of the Build Back Better bill adopted by Kuster and Pappas, this requirement has disappeared, allowing many more people in the United States to illegally collect the taxpayer-funded benefit.

The bill also includes a 10-year “soft amnesty” program in the form of work permits, social security numbers, eligibility for social benefits and the possibility of obtaining a driver’s license for some. 4 or 6 million illegal immigrants. The Washington Post calls him “The largest mass legalization program for undocumented migrants in US history. “

TAX REDUCTIONS FOR NOURISHES

The Biden budget lifts the cap on state and local tax deductions (SALT) for federal filers from $ 10,000 to $ 80,000. Few Americans – and very few Granite Staters – pay $ 80,000 in state and local taxes. According to the left-wing Tax Policy Center, the richest 20% of wage earners would reap more than 96% of the benefits of a SALT repeal, and the richest 1% of all wage earners would receive 57% of the benefits.

Lifting the SALT deduction cap helps subsidize the costs of high local taxes in places like Massachusetts, New York and California. But it does little for the taxpayers of Granite State. The roughly 10 percent of New Hampshire residents who itemize the deductions receive only about 0.4 percent of the total benefits of the SALT deduction.

MASSIVE INCREASE IN IRS SIZE

Public pressure has killed the Biden administration’s plans to increase bank reporting requirements to reach more low-income people – a plan backed from the start by Kuster and Pappas. However, House Democrats voted to dramatically increase the size of the IRS in hopes of raising more tax revenue.

Democrats voted to add $ 88 billion in new funding for the IRS, including $ 45 billion dedicated to enforcement and $ 4 billion to administer green energy initiatives. The biggest expense will be some 80,000 new IRS officers to conduct audits. The revenue target set by the legislation is $ 400 billion in additional tax collections over 10 years. Since higher income people tend to have tax advisers to manage their finances, many observers believe that that $ 40 billion a year will come from small business owners and upper middle class people.

Democrats reject the data, arguing that the benefits of the bill outweigh the problems.

“This legislation will lower taxes while lowering the cost of the daily expenses that burden so many Granite Staters,” Pappas said. “It will invest in a strong workforce that will help our small businesses and our economy thrive. It will uplift workers, give our children the best possible head start, and lead the way to a healthier, stronger and more resilient future.


This story was originally published by the NH Journal, an online news publication dedicated to providing fair and unbiased reporting and analysis on political news of interest to New Hampshire. For more stories from the NH Journal, visit NHJournal.com.

Source link

About William Rowan

Check Also

Stop NM’s debt cycle, cap high interest loans at 36%

Every day in New Mexico, people find themselves trapped in the cycle of high interest …