Senate Republicans would raise taxes on millions of families at the end of this year. In fact, based on our analysis, the Senate Republicans’ plan would likely raise taxes on more than 20 million families—about 10 times as many people who would see higher taxes next year under the Senate Democrats’ plan offered by Majority Leader Harry Reid (D-NV). Under Sen. Reid’s bill, the only people who would lose tax cuts are the roughly 2.1 million households, or less than 2 percent, with incomes of more than $250,000. The Senate is expected to vote on both tax plans next week.
How is the Senate Republicans’ plan a tax hike on some 20 million families? While it extends all of the tax cuts first enacted under President George W. Bush, it lets several important tax cuts enacted under President Barack Obama expire at the end of the year. Apparently Sen. McConnell thinks tax cuts signed into law by President Obama don’t count as tax cuts.
MORE: Senate Republican Plan Raises Far More People’s Taxes than the Senate Democratic Plan.