We are constantly told that if Trump’s tax rates from 2017 are continued, it will cost over $5 trillion over the next ten years.  That seems to be what would happen only in a theoretical or fictional world, where tax receipts are an average of $500 billion lower for ten years if higher rates are in place. 

The experts pretend they know how much income taxes would go up with higher rates, and then they make that unrealistic calculation.  People have suffered for the last four years with higher inflation.  The poor and the middle class have seen their cash flow destroyed, and now the media and other Democrats seem to want those same people to suffer with higher income tax rates. 

Why don’t we see projections of how much slower economic growth will be if the higher corporate and individual rates are allowed to go up? The answer is that the goal is to destroy Trump and Republicans, and facts haven’t mattered for a long time. 

Here are some facts about federal income tax receipts for the last several years. 

2020: Individual income taxes: $2.2 trillion.  Total federal revenue: $3.4 trillion.

2021: Individual income taxes: $2.0 trillion.  Total federal revenue: $4.0 trillion.

2022: Individual income taxes: $2.1 trillion.  Total federal revenue: $4.9 trillion.

2023: Individual income taxes: $2.2 trillion.  Total federal revenue: $4.4 trillion.

2024: Individual income taxes: $2.4 trillion.  Total federal revenue: $4.9 trillion.

And the following is what the federal government is expected to collect in FY 2025: Individual income taxes with the current rates are expected to be up $200 billion to $2.6 trillion, and total receipts are expected to be up almost $600 billion.

The Federal Government’s Current Revenue

The U.S. government estimates its total revenue to be $5.49 trillion for fiscal year 2025.

Per the White House’s projections, income taxes are slated to contribute $2.6 trillion. Another $2.2 trillion should come from payroll taxes. This includes $1.3 trillion for Social Security, $399 billion for Medicare, and $56 billion for unemployment insurance. Corporate taxes would add another $467 billion.

With the above factual history, why would the CBO or anyone else project that the government revenue will go down if rates stay the same?  Why are Democrats so intent on letting the current rates rise when it is so clear how much harm it would do to people they claim they care about, and when the lower rates raised more money for the government?  The higher revenues clearly didn’t cause the huge deficits.  Increasing spending from $4.4 Trillion to around $7 trillion in five years caused the deficits, and Democrats are fighting hard to protect all 438 federal agencies from being audited to see how the money is being spent. What are they hiding?

Image: pasja1000 via Pixabay, Pixabay License.