The Democrats are moving heaven and earth to help the rich. You heard right, the Democrats are running to the assistance of the top 1%. This tells you a lot about political change.
If you thought the Democrats were all about "working people," think again. Maybe the socialist wing wants to seize wealth, but the establishment is desperate to bail out their wealthy supporters.
Specifically, they want to bring back the deduction for state taxes. Yes, that’s the salt issue. It’s the big sticking point in the fight over a new virus aid package.
Back in the good old days, before Donald Trump, wealthy people could claim a deduction for the state taxes they paid. Fork out, say, $100,000 to New Jersey, New York, Illinois or California, and that $100,000 comes off your federal tax return. It’s a Major League deduction. It was a big tax saving. But that’s the old days.
Now, no deduction -- and the wealthy, especially in high-tax, Democrat states, are complaining bitterly. They're paying more federal tax, not less!
New York Sen. Chuck Schumer is demanding a SALT repeal.
So is House Speaker Nancy Pelosi from California.
So is presidential candidate Joe Biden.
The establishment is desperate to avoid even higher taxes in already high-tax, Democratic states, which would make things even worse.
But, if SALT were to be repealed, the establishment helps its rich donors. It would be a Democratic gift to the wealthy. The main beneficiaries would be one-percenters. Forget ideology. Political self-interest rules the Democratic elites.
Adapted from Stuart Varney's "My Take" monologue on "Varney & Co." on Sept. 10, 2020.