Democrats despise capitalism, America, and all private sector workers who have turned to freelancing income during the Democrat-imposed COVID shutdowns. Uber Drivers, Etsy sellers, and anyone who earns extra money on the side (freelance graphic designers, writers, babysitters, ect) are all affected.
Don’t believe us? Check out the only tax increase that was included in the bloated $1.9 billion Biden COVID “stimulus” bill. It includes a huge tax increase for the poorest of working Americans, which has the potential to “destroy their lives,” according to economists who have analyzed the tax increase. It’s not a tax increase on Wall Street, or hedge funds or Hollywood starlets. It’s a tax increase on Americans who rely on freelancing for any part of their income.
Our insane quarantine-the-healthy COVID shutdowns have absolutely devastated certain sectors of the economy. I personally lost at least $50,000 in 2020 after two firms I used to consult with in Manhattan and Nashville went bankrupt due to the shutdowns. (Needless to say, a $1,400 stimulus check doesn’t exactly float my boat; not even close.) I can only imagine how bad 2020 was for people in the restaurant, bar, hair and nail salons, spas and other service sectors have had it. This was one of the most crippling and stupidest unforced errors ever committed against capitalism.
Friendly reminder: The rightful President of the United States, the honorable Donald John Trump, wanted the economy to be completely and totally reopened by Easter Sunday in 2020. Just sayin’.
As a result of one of the most colossally stupid and suicidal policies in human history, many intrepid Americans have turned to freelancing to supplement their incomes. There are a huge number of skills that can be freelanced, thanks to the internet, to help make ends meet these days. A lot of people started freelancing and realized that it’s an easy way to pick up an extra few bucks each month.
Those are the people that the Democrat Party has decided to impose new tax hikes on. Under current rules (prior to the COVID stimulus bill’s passage), companies don’t have to report wages paid to freelancers until it reaches a $20,000 per year threshold. Under the new law in the COVID stimulus bill, that threshold drops to $600.
This is going to catch untold millions of American freelancers by surprise, from Uber drivers to freelance court transcribers. The Democrats’ mindset is obviously that freelancers are a bunch of lying crooks who don’t pay their taxes. Nothing could be further from the truth. Every bit of research indicates that freelancers, as a whole, pay well over 99% of the taxes owed on their freelancing wages (far higher than the average public school teacher or Member of Congress).
The problem with this is that a lot of the poorest Americans, who are now relying on freelancing just to put food on the table in shut-down Democrat-run states, are not able to set aside anything for estimated quarterly taxes. They ran out of savings months ago, even as Gov. Ron DeSantis of Florida was reopening his state after realizing keeping people shut in their homes without an income is worse than the actual virus. (*Sigh*… My hero!)
When tax time rolls around in 2021, freelance workers who made as little as an extra $50 a month during the “pandemic” will find themselves paying not only additional taxes, but also additional penalties for not complying with the new anti-capitalism tax that the Democrats slipped into this bill. Most professionals who freelance their services for a living won’t be impacted by this. They’re already accustomed to being sodomized by the IRS every year on April 15th. But for people who are new to it, it’s going to be a massive shock.
Unlike most previous tax increases in American history, this new tax on the poorest of American workers won’t be “phased in” over a period of years. It goes into effect next January 1. That’s what now has economists and accountants worried. People who make freelancing income have no idea what’s coming for them, or how quickly it’s going to arrive. There’s no chance to brace for it, because it affects income that they are making right now.
This is just one more reason why no one in America should ever trust a Democrat in a leadership position. If you’re a low-income American, they hate you. How else would you explain a tax increase on America’s working poor, in a year when the richest people on the planet got richer due to the shutdowns?