Democrats are the party for the wealthy, a change from decades ago when it was the middle class and poor party.
In 2020, Democrats represented 65% of people with an income of $500,000 or over, according to the IRS, while 74% of people in GOP districts have incomes under $100,000.
The dynamic was reversed in 1993, with the usual GOP congressional district being 14% richer than Democratic districts. Data reveals those Republican districts are now 13% poorer.
The IRS data comes as Democrats attempt to end former President Trump’s 2017 tax law, which limits the federal deduction for local and state taxes at $10,000. The beneficiaries would mostly be the 1% of the country’s wealthiest, with property owners inside high-tax states getting relief on their federal taxes.
Democrats who won formerly GOP-controlled districts campaigned on restoring this deduction, especially in states like New Jersey and New York, where a small amount of GOP districts were flipped to Democrats in 2018.
“I’m not voting for any tax changes at all unless the SALT tax deduction is brought back. I’m laying that on the table., Democratic State Rep. Tom Suozzi said.
Some lawmakers are even pushing to stop Biden’s $2 trillion infrastructure program if it does not reverse Trump’s limit on tax deductions, with some leaders sending a letter to Treasury Secretary Janet Yellen about the issue earlier this month.
“We will keep pushing until this is a part of the legislature. It’s as crucial as roads or bridges, which is why we will keep fighting for it., NJ Democratic Rep. Josh Gottheimer said.
Author: Steven Sinclaire