Democrats have been blasting the proposed GOP healthcare bill. One of their criticisms is that it will eliminate the tax on the wealthy something Democrats thrive on wanting to do. Most likely, in response to the Democrat criticism and in hopes of gaining some support from across the aisle, Senate leaders are now saying they are seriously thinking of keeping the tax on the wealthy in their plan.
Hoping to revive their bill to repeal the Affordable Care Act, Senate Republicans said on Thursday that they were seriously considering proposals to keep one of the law’s taxes on high-income people while providing more money to combat the opioid epidemic and new incentives for people to establish tax-free savings accounts for medical expenses.
In addition, Republicans said, they are considering a proposal that would allow insurers to sell cheaper, less comprehensive health plans if they also offered at least one plan that complies with consumer protection standards like those in the Affordable Care Act.
The open talk of leaving in place a tax on investment income was a big break from the House-passed health care bill and from the Senate’s initial approach. And it was championed by reliably conservative Republicans who acknowledged the tough choices that the health bill would force on lower-income Americans…
What Democrats and some Republicans fail to realize is that when force to pay more taxes, the wealthy, who generally own businesses, compensates by cutting employee benefits, hours, wages and staff. While taxing the wealthy sounds like a noble thing to do, it often backfires and ends up costing the middle and lower-class Americans who can ill afford to lose anything.