Because I'm sitting in a truck, board out of mind waiting on my meet and turn driver, I'm gonna go all intellectual on you. So hold on this could get bumpy.
Working class wages are set in post-tax dollars not pre-tax dollars.
For example, let's say you make 80k a year and pay a 50% tax rate. Your take home is 40k. Now let's say your taxes are reduced to zero, and, wall la, your take home is now 80k.
But -- and here's the kicker -- the company knows that you are willing to work for 40k a year. Now, what do you think any CEO worth a dam will do in that situation? He's gonna reduce your pay to 40k because that's (barring a Union contract) the market price of your labor.
Likewise and forthwith, when income taxes are raised on wage earners the same thing will happen only in reverse. Your pay will go up so that your take home pay remains at market value.
Fortunately, we belong to a union so our wages are protected from "free" market forces to a certain extent.
Dam, this truck won't idle. It keeps shutting off on me. Where's my union representation when I need it? I'm fileing on this ::
::. I deserve post and pre tax A.C.