In a letter addressed to Treasury Secretary Steven Mnuchin, the lawmakers begged the administration to tie capital gains to inflation. The senators, led by Ted Cruz (R-TX), claimed the move would benefit the economy, but a 2018 analysis by the Center on Budget and Policy Priorities found it would mostly benefit the wealthy.
Such a policy would cost the government about $100 billion to $200 billion in revenue over ten years, placing it on the backs of American taxpayers. Additionally, 86 percent of the benefits would flow only to the top 1 percent of households, according to the analysis.
View the complete July 31 by Mike Stankiewicz on the National Memo website here.