Tax increase for families earning more than USD 200,000 in income?
President Joe Biden has been criticized by some members of the Republican Party, alleging that the recent Inflation Reduction Act (IRA) will increase taxes for those individuals or families earning more than $200,000 per year, which will directly affect middle class families, in violation of their electoral promise that "middle class households will not see a tax increase". For their part, the Treasury Department and the White House have specified that the law will not affect families with incomes below $200,000 annually.
Let's take a closer look at what this law is about and how it affects citizens:
This whole altercation arose when Senate candidate Herschel Walker criticized President Biden by indicating that he is increasing tax collection when he has allocated $1.5 billion for planting more trees. In his opinion, citizens have other priorities before investing that amount in trees for rural areas.
However, if we analyze the IRA Law, it does not modify the taxes for families with incomes below $200,000 per year, but it has imposed a mandatory minimum rate of 15% for those corporations and individuals whose income is equal to or greater than $1,000 million ($1 billion in the Anglo-Saxon system).
In short, if your income is equal to or less than $200,000 per year, you should not worry because your income will not be affected by a tax increase. Likewise, several organizations have stated that reforestation is necessary, so the amount is not exacerbated. Even the organization American Forests has indicated that deforestation is linked to social inequalities, since usually the most disadvantaged urban neighborhoods have a greater shortage of trees.
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