- Back to Home »
- Tell Indiana’s Senators the Tax Plan Shortchanges Hoosiers, Bankrupts Opportunity
Tuesday, November 28, 2017
ACTION ALERT: The Senate is expected to vote on this plan as soon as this Thursday! Call (202) 224-3121 and ask both Senator Young and Senator Donnelly to VOTE NO!
Tell Indiana’s Senators the Tax Plan Shortchanges Hoosiers, Bankrupts Opportunity
Tell Indiana’s Senators the Tax Plan Shortchanges Hoosiers, Bankrupts Opportunity
Plan
Would Raise Taxes on Middle-Class & Lower Earners, Send $16.6M Out of State
By Andrew Bradley
The Senate is expected to vote this week on their hastily-assembled tax plan which would shortchange everyday Hoosier taxpayers and cut off ladders to economic opportunity, all to pay for $16.6M in additional taxes sent out-of-state. Before it’s too late, Hoosiers should make sure their Senators are aware of these effects, and then hold them accountable for their votes.
While the Senate tax plan is being sold as ‘tax relief’, like
the House bill and administration
framework, this relief comes mostly at the very top and is paid for by everyone
below. The Senate plan actually raises
taxes for the bottom 60% of Indiana’s middle-class and working families
after temporary credits phase out by 2027. That leaves regular Hoosiers with an
average tax hike around $140 and holding the bag for the permanent tax cuts
that average nearly $5,000 for the top 1% of earners, as well as $22 billion in yearly giveaways to foreign investors.
The plan is so lopsided that Indiana would pay
$16.6 million more in taxes every year by 2027 than it does before the
Senate plan, meaning Hoosiers would pay $16.6 million out of their paychecks in
order to subsidize cuts for largely out-of-state millionaires, corporations,
and foreign investors. (That $16.6 million would more than double the amount
Indiana added to its ‘On My Way Pre-K’ program this year, and would be better
used for there, or to address the opioid epidemic, or to skill up low-wage
adults, etc.)
To help pay for these upside-down cuts, the Senate plan
would remove the individual mandate from the ACA, which would leave 245,000
more Hoosiers without health insurance by 2025 (of 13 million nationwide).
In addition, the Senate plan would increase marketplace premiums for Hoosiers
by $1,360 in 2019, and would cause a hole of $519 million in Medicare funding for
Indiana to fill.
In addition, to pay for their plan the Senate would remove
popular tax credits and services that help Hoosiers reach the middle class and
economic security. The plan would dramatically decrease the use of tax credits
for mortgages, state and local tax deductions, even graduate studies (a killer
at a time when Indiana’s employers struggle to find highly-skilled workers). And
these cuts only pay for the $1.5 trillion deficit increase as laid out in the
plan – Congressional leaders have
already announced intentions to cut Medicaid by 47%, job training by a
third, and SNAP by $140 billion by the time temporary tax credits expire.
If this plan doesn’t sound like it would be popular, that’s
because it’s not. A nationwide Fox News poll
found 52% of Americans disapprove of the Republican tax plan, and only 25% support
it. In Indiana, 80% of the 2017 Hoosier Survey
respondents say corporations and the wealthy not paying their fair share are
their top concerns with the federal tax system. The Senate plan does exactly
the opposite of what Hoosiers and Americans want it to do.
It’s crucial that Hoosiers reach out and hold their Senators
accountable for the damage this plan will do to our middle-class and working
families. Call Senator Donnelly and Senator Young at (202) 224-3121 and let
them know how you and your family will be impacted by this upside-down tax plan.
Tell them if they want real tax ‘reform’, it’s time to go back to the drawing
board. This plan is so flawed that it would be far better to start over than to
pass this plan as-is.
____________________________________________________________