All Americans should be watching what happens in the Georgia elections on Jan. 5. Plans for a historic increase in taxes that could place most small businesses in America in crisis depend primarily on the Democrats winning the two Senate seats in Georgia’s next race.
The Democratic Party, led by Joe Biden, is planning massive tax increases that could affect nearly all American bank accounts. Small businesses, in particular, would be hardest hit by the higher taxes.
To support the waste of money they are putting forward in their meaningless populist policies, the Democrats have no choice but to generate income, and that place cannot be other than the taxpayers.
To accomplish these goals, it would only be possible with a Democratic victory in Georgia, which would allow them to dominate the Senate and from there gain a majority on issues critical to achieving their goals, such as tax increases. Clearly, the vicious circle culminates in the event that Biden succeeds in assuming the presidency and thus Kamala Harris ascends as Senate leader.
Among the taxes already announced by the Biden-Harris duo are: raising the corporate tax rate from 21% to 28%, raising the maximum individual income rate back to 39.6 percent from 37 percent, a 12.4% tax on payroll, and taxes on earned income above $400,000.
And as a result of these increases, there will be an inevitable rise in electricity and other utility bills as larger firms seek to shift their tax costs to the price of their products. In short, the tax increase will end up being paid by Americans as a whole.
The Democrats’ plan would be the biggest tax increase since the late 1960s, when the country was struggling to pay for the Vietnam War and the social welfare programs of previous years, the Tax Foundation recently said in a comprehensive report.
In contrast, President Trump’s undeniable economic policy success was based, among other things, on a significant reduction in the tax burden. Automatically generating more investment, more jobs, and therefore more consumption.
President Donald Trump implemented strategies that brought the U.S. economy to record levels of unemployment, with benefits for most segments of the population, including of course small businesses.
To name one example of the many policies he implemented, under the Tax and Employment Cut Act, most small businesses can deduct 20% of their taxable income, even before they get the savings from the new, lower tax brackets.
Small employers can reinvest the tax savings into their businesses, increasing their employees’ profits or creating new jobs.
The impact on the national economy was quickly felt, with unemployment at a 50-year low until the arrival of the CCP Virus and the pandemic that slowed the economy. Items such as oil and manufacturing that seemed to be lost, had historical rates of production.
As incomes rose in 2019, the poverty rate plummeted 1.3 percentage points to a low of 10.5% the lowest in the last 60 years. These numbers were affected during 2020 due to the effects of the CCP Virus that forced the country to halt its economy for several months. In the last few months it can again be seen that the economy is gradually returning to the previous rhythms of the CCP Virus pandemic.