[AdSense-A]
Republican Obamacare repeal plan would give 400 wealthy families a $7M tax break
The Republican plan to repeal Obamacare would give 400 of America’s richest families a giant tax cut worth an average $7 million each.
So that means that, in addition to taking health insurance away from 30 million poor and middle-class Americans, Republicans want to use the Obamacare repeal as an opportunity to give the wealthy another big tax break.
According to a new report from the Center on Budget and Policy Priorities that is exactly what the Republican plan for repealing Obamacare plan would do.
One of the ways that Obamacare pays for the expansion in new health coverage it has provided for millions is through a surtax that applies exclusively people whose incomes are above $250,000 a year for couples and $200,000 for individuals. That means having high-income earners help pay for the cost of covering millions of poor and middle-class Americans.which means that only people with such high incomes end up paying it.
[AdSense-B]
A full repeal of Obamacare, which Donald Trump and Republican leaders in Congress have been pushing, would eliminate the taxes on high-income earners. All credible studies that have been conducted have made clear that between 20 million and 30 million people would lose their health insurance if Obamacare is repealed.
Giant windfall for millionaires and billionaires
Despite the tens of millions who will lose substantially in an Obamacare repeal, some of the greatest beneficiaries of the repeal would millionaires and then there are multimillionaires ― and with this new report, researchers at the Center on Budget.
They did this by using data from the Brookings-Urban Tax Policy Center and, separately, from the IRS, in order to figure out what the tax cut would mean for the 400 households in America with the highest tax liabilities. On average, these families have incomes of $318 million a year, according to the report, which means the $7 million tax cut they would get is roughly equivalent to increasing their incomes by 2 percent.
And that loss in tax revenue from giving those 400 rich families would cost the United States $2.8 billion a year in tax revenue.
[AdSense-C]
