The so-called “Inflation Reduction Act” passed in the U.S. Senate when VP Kamala Harris broke the 50-50 tie on Sunday in favor of the controversial package. The bill rolls-up a number of items under a reconciliation package used to avoid the 60-vote filibuster thereby permitting the 50 Democrats and allies to pass the legislation. The $740 billion package included billions of more spending on extending Obama-care subsidies and more funding for climate related items, while also including massive new taxing authority that have left some questioning its true impact in the middle of a growing recession. The Americans for Tax Reform (ATR) contends that the measure will increase taxes on thousands of mid-sized to small businesses across the United States. “Any business that has [private equity] in its capital structure is now considered a subsidiary of that firm and thus subject to 15 percent book tax,”
Overall critics have noted: “All Fifty Democrat Senators have voted for a massive tax hike during a recession, more subsidies during a period of runaway inflation, and “siccing” 87,000 new IRS agents on independent businesses at a cost of $80 billion.” Adding in sum: “Every single Democrat in the US Senate cast the deciding vote to raise taxes in a recession. Every one of them” given the 50-50 tie was brought about by all 48 Democrats and the two (2) Independents Senators that caucus with them holding ranks on the nearly trillion-dollar package.