Christal Mims, Staff
Rapper 50 Cent recently came under fire for saying that he supports President Donald Trump after learning about Joe Biden’s tax plan. He also said that he doesn’t care if Trump “doesn’t like Black people.”
The 45-year-old posted a photo to Twitter on Monday from a CNBC broadcast that suggested those living in New York could face combined federal and state tax rates of 62 percent, to which he replied, “What the f***!” he wrote. “(Vote for Trump) I’m Out, F*** New York.”
Biden supports raising tax rates for corporations and those making $400,000 or more per year. This would reverse part of Trump’s 2017 tax law that reduced the top federal rate for individuals from 39.6 percent to 37 percent. He is promising to raise $4 trillion in the next decade from taxing the rich.
The rapper, born Curtis James Jackson III, doubled down on his statements on Tuesday after facing backlash, saying, “Yeah, I don’t want to be 20cent. 62 percent is a very, very, bad idea. i don’t like it!”
Critics were quick to point out that the report 50 Cent used to come to his conclusion was a bit faulty. CNBC contradicted the surface-level depiction in another article that later revealed, “few if any taxpayers pay the full statutory rates, which don’t include deductions, credits, offsets, loopholes and lower tax rates on other sources of income.” Those “other sources of income” are relevant as many millionaires and billionaires get more than a third of their spending money from capital gains.
The tax is also driven by the marginal tax rate, meaning that only income over $400,000 would be taxed at 39.8 percent, with the first $399,999 being taxed at lower marginal rates. This would make it highly unlikely that 50 Cent finds himself in a position where he is paying 62 percent of his income in taxes.
According to the Committee for a Responsible Federal Budget, if Biden’s tax plan were to be fully implemented with no alterations, it would raise $1.6 to $1.9 trillion from corporations, $1.0 to $1.2 trillion from high earners through income tax and $800 billion to $1 trillion from Social Security payroll taxes on high-wage earners over the next decade.
The Democratic presidential nominee would “raise the corporate tax rate from 21 to 28 percent, set minimum corporate taxes for domestic and foreign income, restore the top individual tax rate from 37 to 39.6 percent, tax capital gains as ordinary income and at death for very high earners, limit various tax breaks for higher earners, subject wages above $400,000 to the Social Security payroll tax, and pass various other cuts and increases.”
Whether he understands the tax plan or not, 50 Cent doesn’t appear to be interested in backing down from his recent position on the subject matter.