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UP FRONTWednesday 27 December 2017

Democrats hope to use tax overhaul as a club against GOP

By BILL BARROW                 House Minority Leader Nancy Pelosi of Calif., left, standing                      party of middle-class and        appreciative,” says Corry
Associated Press               with Senate Minority Leader Sen. Chuck Schumer of N.Y., right,                    working-class America.           Bliss, who runs a political
ATLANTA (AP) — A Demo-         speaks at a news conference on Capitol Hill in Washington.                        They hope Republican ef-         advocacy organization
cratic congressional candi-    Democratic candidates in the 2018 midterms plan to argue that                     forts to gut the 2010 health     and a separate political
date outside Philadelphia      the legislation favors the wealthy and breaks President Donald                    care law and President           action committee backed
calls the Republican tax       Trump and Republicans’ promises to the middle class.                              Donald Trump’s unpopular-        by House Speaker Paul
overhaul a “cynical bill”                                                                                        ity will help that cause.        Ryan, R-Wis. “I think it sets
that will redistribute wealth                                                            (AP Photo/Susan Walsh)  “It’s all a consistent mes-      up a wonderful contrast for
upward.                                                                                                          sage: This is not what you       the midterms.”
One of her counterparts        workers’ take-home pay Congress and to dent GOP                                   were promised,” says Chris-      Suburban Democrats like
in California dismisses es-    up and down the income advantages in statehouses.                                 sy Houlahan, a Democratic        Houlahan particularly ob-
timates of tax savings for     ladder, Democrats are Democrats hope to use the                                   candidate in the suburban        ject to a new cap on de-
most U.S. households and       aiming to turn the tax law tax plan, passed without a                             Philadelphia district of Re-     ductions for state and local
says the legislation is “just  into a cudgel in next year’s single Democratic vote, to                           publican Rep. Ryan Costel-       taxes, along with limits on
putting money in the pock-     fight to retake control of stake their ground as the                              lo, who voted for the tax        mortgage interest deduc-
et of the wealthy.” And in                                                                                       plan. He is one of Demo-         tions. One provision limits
Kansas, a Democratic can-                                                                                        crats’ top GOP targets as        a household to a maxi-
didate for governor says it’s                                                                                    they try to flip the 24 GOP-     mum deduction of $10,000
“a recipe for disaster” that                                                                                     held seats necessary for a       in state and local taxes,
signals inevitable cuts to                                                                                       House majority.                  including property lev-
popular programs like So-                                                                                        Republicans acknowledge          ies. Interest calculated on
cial Security and Medicare.                                                                                      dismal polling for their ap-     mortgage debt beyond
While Republicans cele-                                                                                          proach but count on a            $750,000 also would not be
brate a massive tax over-                                                                                        turnaround in public opin-       deductible, down from the
haul they say will goose                                                                                         ion as tax cuts for many         current $1 million cap.
the economy and increase                                                                                         take effect.                     Those changes fall dispro-
                                                                                                                 A Wall-Street Journal/NBC        portionately on the nation’s
                                                                                                                 News poll taken Dec. 13-         largest metro areas, par-
                                                                                                                 15 found just 17 percent of      ticularly along the coasts,
                                                                                                                 respondents expect to pay        where median incomes
                                                                                                                 less in taxes, while a third     are often much higher than
                                                                                                                 thought they’d pay more.         the national benchmark
                                                                                                                 Two-thirds of those polled       but where residents also
                                                                                                                 said corporations would          have considerably higher
                                                                                                                 get breaks; more than half       housing costs and local tax
                                                                                                                 said rich people would get       burdens. Such House dis-
                                                                                                                 cuts.                            tricts feature prominently
                                                                                                                 Indeed, the overhaul slash-      on Democrats’ target list
                                                                                                                 es the corporate rate from       in 2018. Several are now
                                                                                                                 35 to 21 percent, and adds       represented by Republi-
                                                                                                                 generous deductions for          cans who voted against
                                                                                                                 certain types of businesses.     the final tax bill, like House
                                                                                                                 Yet the plan also lowers         Appropriations Committee
                                                                                                                 individual rates and alters      Chairman Rodney Frelin-
                                                                                                                 various deductions and           ghuysen, who represents
                                                                                                                 credits. Results vary widely     New Jersey’s 11th congres-
                                                                                                                 but the nonpartisan Tax          sional district. He cited the
                                                                                                                 Policy Center calculates         deductions cap in explain-
                                                                                                                 that every income bracket        ing his “no” vote. Freling-
                                                                                                                 will see gains in after-tax in-  huysen’s potential general
                                                                                                                 come, at least until some of     election opponent, Demo-
                                                                                                                 provisions expire after 2025.    crat Mikie Sherrill, said the
                                                                                                                 The initial gains are estimat-   congressman’s overall sup-
                                                                                                                 ed at about 0.5 percent for      port for Ryan and the GOP
                                                                                                                 the bottom 20 percent of         agenda still makes him
                                                                                                                 wage earners to about 2          “complicit” in the tax legis-
                                                                                                                 percent for most of the top      lation. In California, Demo-
                                                                                                                 20 percent.                      cratic House challenger Gil
                                                                                                                 “When Americans see they         Cisneros plans to hammer
                                                                                                                 have more in their pay-          Rep. Ed Royce for backing
                                                                                                                 check, we think they’ll be       the bill.q
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