An Overlooked Fact
The Progressive Pulse highlights an overlooked fact in the ongoing partisan wrangling over raising the top two marginal federal income tax brackets.
Everyone will continue to receive some tax cut under either the Senate or House plan; even those families with incomes over $250,000 will still keep their tax cuts on the portion of their income below that quarter-million-dollar threshold. These middle-income tax cuts promote consumer spending, allowing more middle-class families to support small businesses as paying customers, in turn providing these companies with additional revenues to increase profits and hire more workers. Higher-income families, on the other hand, tend to save, rather spend additional income resulting from tax breaks, in turn weakening the ability of these tax cuts to promote investment and job creation.