SEN. KAMALA HARRIS AND THE DEMOCRATS’ INTELLECTUALLY DISHONEST CLAIMS ABOUT LOWER TAX REFUNDS
by Kevin Ryan
Today is tax day, and many Democrats (and the media who carry their water) have been complaining about lower tax refunds, as a way to insinuate that the tax cuts have economically hurt people because refunds are lower.
Sen. Kamala Harris tweeted that “The average tax refund is down about $170 compared to last year. Let’s call the President’s tax cut what it is: a middle-class tax hike to line the pockets of already wealthy corporations and the 1%.”
To understand just how wrong her statement is, compare paying your taxes to a trip to the supermarket.
If your bill is $12, and you hand the cashier $20, you get back $8 in change.
Now, if the supermarket reduces its prices, and your bill is $9, you can give the cashier $10 and get a dollar back in change.
Sen. Harris claims that you are WORSE off in the second scenario because you got less change back.
Even though you saved $3.
That’s how intellectually dishonest she and all those headlines deriding lower refunds are.
She seriously believes people don’t understand how tax withholding and refunds work. And maybe her constituents don’t, so here’s a brief primer:
Every time you receive a paycheck from your employer, a certain amount is taken out of it and given to the government to pay your federal income tax. Ideally, by the end of the year, all the amount withheld from your paychecks will add up to exactly what you owe in taxes.
If you paid too much during the year, the IRS will send you a refund. If you paid $10,000 through withholding and your actual tax bill is only $9,000, you will get a $1,000 refund. In other words, you gave the government a $1,000 interest-free loan and now they are paying you back.
Whether you withheld too much or too little does not change the total amount of your tax bill, it just changes how much change you get back from the government.
found @ 1795 likes ON 2019-04-17 09:52:17 BY ME.ME