Joe Biden’s losing streak continues.
Biden can’t blame Republicans as his own party turned against him.
And one key Democrat just hit Joe Biden with a devastating defeat.
Joe Biden unveiled a new massive $5.8 trillion budget that Biden intended to provide political cover for Democrats.
Biden’s budget imposed the largest tax increases in history and played smoke and mirror games to claim it reduced the deficit.
Democrats hoped a vote for this budget would allow them to claim they were tacking back to the center as reduced deficits would lead to lower inflation.
Biden and the Democrats found out that hope was dead on arrival.
Key to Biden’s budget was an un-American tax on unrealized gains on stocks.
The tax system is currently set up where individuals only pay capital gains on the profit made when selling a stock.
Under Biden’s budget, the government would now tax “billionaires” on their stocks when they increased in value even if the individual in question did not sell the stock and realize a profit.
West Virginia Democrat Joe Manchin announced his opposition to taxing unrealized gains meaning Joe Biden’s budget already lacked the votes for passage.
“You can’t tax something that’s not earned. Earned income is what we’re based on,” Senator Manchin said in an interview with The Hill. “There’s other ways to do it. Everybody has to pay their fair share.”
“Everybody has to pay their fair share, that’s for sure. But unrealized gains is not the way to do it, as far as I’m concerned,” Senator Manchin continued.
Even RINO Republicans knew enough to oppose this insane scheme.
South Dakota RINO John Thune explained the dangers of this tax due to the fact that investors can write off losses on their stock trades.
“It’s essentially taxing people before they actually get the income, and that seems like a really dangerous precedent in tax law because if you have a gain one year and then a huge loss the next year, how’s the government going to pay people back for their losses?” Thune stated.
Thune continued on, telling The Hill that taxing unrealized gains was really a wealth tax, which is unconstitutional.
“We’ve always had a principle in our tax policy that a gain has to be actually realized, income has to be received before it can be taxed, and this completely undermines that principle,” Thune concluded. “It’s a wealth tax basically, but I think it’s a dangerous precedent.”
Stay tuned to Conservative Underground News for any updates to this ongoing story.