CBO: The poor obtain a drop in income of $ 1,200 and the rich obtain an increase of $ 13,600 in Trump’s tax law

The CBO estimates that the 10% of the poorest Americans will lose about $ 1,200 a year because they will undergo restrictions on government programs like Medicaid and food aid, while the richest 10% of Americans will see their income increase by $ 13,600 of tax reductions. Overall, American households will see more income from the tax reductions in legislation, including intermediate income households, but the greatest advantage will go to the highest 10% of employees.

The CBO report intervenes while the legislators are far from Washington, many of which take their messages on the bill to voters. The Republicans muscled the legislation – considered to be “the great and beautiful bill” of Trump – by the congress in July. Democrats were all vehemently opposed the legislation, warning that its tax reductions and their expenditure priorities would be at the expense of the vital government assistance programs and a national ball debt.

“It is really a big and beautiful invoice for the billionaires, but for the poor and the working class in this country, you are in fact poorer,” said representative Brendan Boyle, the best democrat of the Chamber’s Budget Committee on Monday, in an interview with the MSNBC.

Changes in eligibility for government food assistance under the law will have an impact on millions of Americans, the CBO revealed. About 2.4 million people will not be eligible for the additional nutrition assistance program in the context of new work requirements for many beneficiaries. Low -income Americans could also see their income reduced thanks to new restrictions on food aid and other types of assistance included in the law.

Already, more than 10 million Americans should lose health insurance by 2034 due to changes to Medicaid under the law.

After the publication of the report, representative Jason Smith, republican president of the Chamber’s way and means committee, said that he had challenged the CBO methodology, repeating the criticisms he had made in the past.

“CBO has a disturbed history to obtain its incorrect estimates and, like Democrats, is biased in favor of more federal expenses and higher taxes,” said Smith on social networks. “Don’t buy it.”

Republicans are looking forward to selling the advantages of legislation – arguing that tax reductions will stimulate economic growth – while they are on a summer break of Washington. But those who have held halls in their original districts have often been welcomed by an ear of voters and activists.

“Tax The Rich”, Lincoln’s crowd, Neb. Chanted last week when the Republican representative Michael Flood tried to defend the bill.

However, Trump was not discouraged.

“President Trump, a major bill, puts America like never before, offering huge savings for working families, stimulating our economy and obtaining our borders,” said the assistant press secretary of the White House, Abigail Jackson, in a statement last week.