Jared Bernstein was the White House’s economic advisor. He appeared on Monday’s Squawk Box, on CNBC. Brian Sullivan spoke with him about the impact of the Inflation Reduction Act upon taxpayers.
If the legislation is passed by Congress and signed into law by President Joe Biden, it would allow for 87,000 more IRS agents. This would also raise taxes for most Americans despite promises not to increase taxes on those earning less than $400,000.
“It is obvious that the president has made it clear that no one with a net worth less than $400,000 will be audited or inspected by the new agents. ” Sullivan was questioned.
“No, no, no. It’s not what you meant. Bernstein stated that anyone earning less than $400,000 would be exempt from higher taxes under the Inflation Reduction Act. ”
“If they double their IRS size, who are they going after?” Sullivan also spoke of small businesses.
Bernstein did not answer the question regarding who additional IRS agents would audit. He instead reiterated his promise to those making less than $400,000 per year that they will not be subject to more tax.
However, we reported that Bernstein’s promises are false according to the nonpartisan Joint Committee on Taxation. Americans with less than $200,000. would see their tax rates rise by $16.7 million starting in 2023.
Bernstein stated that legislation should encourage so-called “green energies” to stimulate economic growth.
Bernstein said that setting up a clean energy industry and manufacturing like the act, will create more economic growth.
According to July data from the Department of Labor, inflation reached an all-time high of 40 years. This is causing economic distress to many Americans.