The Warren wing nudges the Party
by digby
Maybe it’s unfair to characterize it that way because a lot of people have been agitating for this for a while. But this is coming from the Democratic establishment and it means they are going to at least try to be a little bit more populist:
The centerpiece of the proposal, set to be unveiled Monday by Rep. Chris Van Hollen (D-Md.), is a “paycheck bonus credit” that would shave $2,000 a year off the tax bills of couples earning less than $200,000. Other provisions would nearly triple the tax credit for child care and reward people who save at least $500 a year.
The windfall — about $1.2 trillion over a decade — would come directly from the pockets of Wall Street “high rollers” through a new fee on financial transactions, and from the top 1 percent of earners, who would lose billions of dollars in lucrative tax breaks.
The plan also would use the tax code to prod employers to boost wages, which have been stagnant for four decades despite gains in productivity and profits.
It will be interesting to see how it affects the presidential race. If the Democratic candidate embraces it, it will be fun to watch the Republicans defend low taxes for millionaires and higher taxes for average people. They’ll find a way to do it, but it will have to be a very clumsy tap dance.
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