Tax on Tips: Kamala Harris Hypocrisy Angers Overtaxed Voters
August 13, 2024.png)
Key Takeaways
- Voters increasingly blame Kamala Harris and the IRA for the current poor economic situation, accusing her of hypocrisy and plagiarism.
- Harris recently repeated Trump’s proposal to eliminate federal tax on tips, eliciting accusations of flip-flopping as people point out Biden-Harris initiatives to target tips for increased tax revenue.
- There is growing concern about potential recessions, fueled by market instability, geopolitical uncertainties, and economic policies perceived as fostering instability.
Our Methodology
Demographics
All Voters
Sample Size
17,000
Geographical Breakdown
National
Time Period
7 Days
MIG Reports leverages EyesOver technology, employing Advanced AI for precise analysis. This ensures unparalleled precision, setting a new standard. Find out more about the unique data pull for this article.
MIG Reports data shows increasing conversations about potential U.S. dollar decline, the Laffer Curve, and policy hypocrisy from Kamala Harris. Americans continue to discuss the Biden administration’s fiscal policies and the failure of the Inflation Reduction Act (IRA).
Some say the IRA impacted the U.S. economy positively, but many criticize its results as contradicting its promises. Negative discourse also extends to the Federal Reserve's monetary policy, where inflation, interest rates, and economic management strategies further polarize opinions. Overall, there is growing apprehension about America's economic future.
Many economists utilize the Laffer Curve as a general theory, though it is not an exact instrument. The Laffer Curve illustrates the relationship between tax rates and tax revenue, showing there is an optimal tax rate which maximizes revenue. If tax rates are too low, the government collects less revenue. If tax rates are too high, it can discourage economic activity, also decreasing revenue. The curve suggests both very low and very high tax rates can negatively impact revenue.
Concerns over the implications of analysis using the Laffer Curve highlight these facts:
- 2019 tax revenue per person was $12,628 while tax spending was $16,188
- 2023 tax revenue per person was $13,341 while tax spending was $18,406
- Tax revenue per person increased by approximately 5.65%
- Tax spending per person increased by approximately 13.70%
This increased government spending continues to widen disparities between tax revenue and tax spending. In recent comments, economist Art Laffer also suggested the U.S. dollar may jeopardize its status as the world’s reserve currency saying, “the U.S. government’s use of the dollar as a political weapon, through sanctions and other measures, has eroded international trust in the currency.”
Economist Art Laffer Slams US Economic Policies, Warns of Dollar's Decline as Global Reserve Currency - #Economics https://t.co/rRPRxNCTNT
— Bitcoin.com News (@BTCTN) August 10, 2024
Harris’s Hypocritical Fiscal Policy
.png)
Voter sentiment about the Inflation Reduction Act is negative. Many blame current economic struggles on this policy—including high inflation, increased IRS oversight, and elevated costs for goods and services.
VP Kamala Harris, who cast the deciding vote to pass the IRA, regularly attracts criticism in online conversations. People describe the IRA as a political maneuver that, contrary to its name, exacerbated inflation rather than mitigating it. Many people also view it as especially harmful to low-income workers.
Harris also generates extreme negativity for recent claims in a campaign speech that she plans to remove taxes on tips. People accuse her of plagiarism, pointing out that Donald Trump began promoting this concept back in June.
People point out that Harris’s deciding vote on the IRA directly contradicts her new promise. They highlight the policy’s IRS expansions to pursue taxpayers for not paying taxes. They cite that the IRS, under the Biden-Harris administration, rolled out a “tip reporting” program in February to improve tip reporting compliance.
Kamala Harris, who now claims to be against taxing tips, was the tie-breaking vote on the Inflation Reduction Act, which expanded the IRS so it could go after people not paying taxes on tips.
— Bonchie (@bonchieredstate) August 11, 2024
Incredible stuff. The most inauthentic, astro-turfed campaign in history. pic.twitter.com/9Nne61oJPi
Sentiment trends are unmistakably negative when discussing Biden-Harris administration fiscal policies. People associate Harris with increased financial hardship and increasingly accuse her of disingenuous flip-flopping.
The reliability of sentiment analysis is high given the volume and consistency of negative feedback. Common themes include accusations that the IRA was a disguised effort to push progressive agendas rather than control inflation.
Voters complain that targeting tips for tax revenue, as Harris has very recently done, impacts lower income households who rely on tip wages. People allege misallocation of funds under Harris toward initiatives like climate change and say overall tax burdens on middle-class families are increasing.
Partisan proponents of the IRA and the Biden-Harris administration cite lowered prescription drug costs and clean energy advancements as key benefits. Opponents argue these benefits are overshadowed by overarching economic downturn, characterizing the IRA as a net negative.
.png)
Trump Versus Harris Tax Policies
The concept of the Laffer Curve influences discussions on tax cuts and their impact on revenue and economic growth. Some also debate fiat currency and the Federal Reserve's role in managing the U.S. dollar. Public sentiment is divided on these topics, as some distrust the Fed's control over fiat money, advocating alternatives like Bitcoin. Many Americans view the Federal Reserve as increasing inflation and debt through money printing, though some also believe it is a stabilizer in financial crises.
Sentiments towards Kamala Harris regarding the economy is largely negative. Voters are skeptical about her promises to eliminate taxes on tips. They see the claims as politically motivated, pandering, and an attempt appropriate Trump's populist policy proposals.
Democratic VP nominee Tim Walz also faces criticism for how he handled Minnesota’s budget surplus. Voters say his tax hikes during surplus periods caused inefficient economic management.
The narrative around Trump's tax policies is nostalgic as voters recall his tax cuts. There is pronounced positivity toward middle-class and small business tax savings. Voters highlight Trump's previous economic measures, like the Tax Cuts and Jobs Act, as significant achievements that benefited the American workforce.
Trump's proposal earlier this year to eliminate federal tax on tips has been positively received by voters. Many suggest this is why Kamala Harris suddenly adopted the idea as well, despite looking hypocritical in doing so. People also lambast the media for how they report on Harris proposing no tax on tips versus how they reported Trump's initial proposal. One stark example gaining criticism is CBS news, which framed it as a tragic loss of tax revenue under Trump then, subsequently, a win for service and hospitality workers under Harris.
What an honest media we have.
— Wesley Hunt (@WesleyHuntTX) August 12, 2024
SAME policy. Different candidates. pic.twitter.com/PJHcEB5M9y
Trending directions indicate an increasing anxiety about the potential for recession. Americans worry about recent stock market crashes, heightened geopolitical uncertainties, and economic policies that perpetuate instability. Voters pay attention to economic indicators like unemployment rates and GDP growth. Any shifts are met with calls for urgent rate cuts to stimulate economic activity.
.png)
.png)
.png)
.png)
.png)
.png)
.png)
.png)
.png)
.png)
.png)