Tax Day Reveals Trump, Biden Differences On Tax Policy

Tax Day shed light on the divergent approaches to tax policy between Joe Biden and Donald Trump.

Higher tax rates for the wealthy can stimulate economic growth by incentivizing reinvestment.

Biden, the sitting Democratic president, plans to release his income tax returns, emphasizing the need for the wealthy to pay more taxes to reduce the federal deficit and support programs for the poor and middle class.

In contrast, Trump advocates for more tax breaks for the rich, arguing that such measures spur investment, although evidence suggests otherwise.

The expiration of Trump-era tax cuts by the end of 2025 presents a significant challenge for the next administration, with choices to be made regarding tax rates across different income levels as the national debt climbs.

While extending all tax breaks could add trillions to the national debt, historical examples suggest that higher tax rates for the wealthy can stimulate economic growth by incentivizing reinvestment.