The report, “Republican Agenda Threatens Market Stability, Puts Main Street at Risk,” highlights that market valuations are extremely high right now, which creates risk that a large correction could trigger a widespread economic downturn. Rather than mitigating this risk, Republicans have appointed hostile regulators, defunded agencies that monitor and address risk, and fostered a climate of uncertainty.
The Republican plan has its priorities backwards. It focuses on the top and assures everyone else that benefits will trickle down to them. But the reality is that nearly 28 million working families across the country will face a tax increase within 10 years. And in New Mexico, more than 200,000 families with earnings under $74,000 will see their taxes go up. It would take the typical household in New Mexico nearly four years of work just to match the giveaway being provided to a single wealthy person under this tax plan.
U.S. Senator Martin Heinrich (D-N.M.), Ranking Member of the Joint Economic Committee, released a video message today on the impact that Dreamers have on the rural economy and why Congress needs to pass the Dream Act now.
Joint Economic Committee Democrats released a fact sheet today that highlights the economic impact of rural DACA recipients. Dreamers play an important role in rural areas, where their economic contributions can help towns get back on their feet after years of slow economic growth. In rural America, these estimated tens of thousands of young people are part of the answer to building sustainable economies in small towns across the country.
Today, Senate Republicans passed their tax bill that harms working families, will blow a huge hole in the deficit, and I fear will lead to drastic cuts to vital programs in the years ahead. Yet again, our children and our communities will end up paying the price for irresponsible and immoral Republican tax giveaways.
There is another way the bill would impact New Mexico: Elimination of the state and local tax (SALT) deduction. This deduction allows tax filers to deduct the taxes they pay in state and local taxes, which primarily impacts states like California and New York with higher incomes and higher amounts of progressivity in their tax structure. A report by the Democrats on the Senate Joint Economic Committee found that would reduce school funding by $94 million.
In six years, according to Sen. Martin Heinrich (D-N.M.) of Congress’ Joint Economic Committee, the CFPB has responded to more than 1 million consumer complaints, reduced consumer debts by nearly $8 billion, provided protections from mortgage service and credit card fees, barred excessive interest rate hikes and limited predatory sales practices aimed at young consumers. Its enforcement action led to a $100 million penalty against Wells Fargo, whose employees were given incentives for opening phony accounts for customers without their knowledge.
U.S. Senator Martin Heinrich (D-N.M.), Ranking Member of the Joint Economic Committee, delivered the following statement at today’s hearing on the economic outlook with Federal Reserve Chair Janet Yellen.
“I’m not opposed to a more competitive corporate tax system, but not one financed on the backs of middle-class families,” Heinrich, the ranking member of the congressional Joint Economic Committee, told the Journal. “The GOP plan takes away family tax deductions and exemptions and uses that money to cut corporate rates. I think they ought to find savings within the corporate tax code in order to finance corporate rate reduction, instead of their current plan that raises taxes on working families to do it.”
Under the current Senate bill, an individual in Ohio earning about $25,000 a year could get a tax cut of about $340. But, according to the nonpartisan Joint Economic Committee, a 27-year-old in Ohio, earning about $25,000 a year, would see their health insurance premiums increase by $395 a year. So, they are getting $340 in tax cuts. But paying $395 more for health insurance. They are now $55 in the hole. And for a family of four in Ohio earning $60,000 a year, they could expect a $630 tax cut under this bill. But the Joint Economic Committee says they are going to pay $1,431 more in health insurance premiums under this bill. So they are in the hole $800.