The November election is less than 15 days away, and Vice President Harris and former President Trump have discussed taxes extensively on the campaign trail.
We’ve seen proposals on everything from eliminating taxes on tips and tax on Social Security benefits to proposed tax cuts for first responders and Americans living abroad, new tax breaks for small businesses and families with newborns, bringing back the SALT deduction, and higher tariffs. (Yes, it's a lot.)
With all this tax talk, you would assume most voters consider their taxes a main issue this election cycle. Well, according to a new Gallup poll, you’d be wrong.
While politicians debate tax policies in the run-up to Election Day, November 5, many voters are reportedly (and understandably) more concerned about other issues.
So, the Gallop report highlights a somewhat surprising disconnect between political rhetoric and voter priorities.
Have taxes been overplayed for the upcoming election? Here’s more of what you need to know.
Tax issues take a backseat for voters
Taxes aren't exactly a thrilling topic for most people, and it turns out they aren't a top priority at the ballot box either.
- According to the Gallup poll, only about one in three people consider taxes "extremely important" when deciding how to vote.
- This is relatively low compared to other concerns like the economy (52%), healthcare, and national security.
Interestingly, political affiliation seems to influence how much people care about taxes. For instance, the poll revealed:
- For Republicans, taxes rank among their top five issues (out of 22 concerns)
- Democrats tended to place taxes much lower on the list
Additionally, the poll results indicated that Republican views on taxes fluctuate more depending on who occupies the White House.
Paying too much tax?
Speaking of feelings, surprisingly, many of those surveyed reported feeling more positive about their tax bills than in previous decades. According to Gallup, about half now believe their taxes are "about right."
On that point, it should be noted other recent polls have revealed fewer happy taxpayers.
- For example, last year, a Pew Research Center poll found that more than a third (34%) of Americans said they pay about the right amount in taxes.
- In that same poll, about 8% said they pay less than their fair share, but the majority (56%) said they pay more than their fair share.
- (That last number was up from 49% two years prior.)
Another poll from the Associated Press-NORC Center for Public Affairs Research this year found that less than a third of taxpayers (about 27%) believe their federal income taxes are fair.
The vast majority (60%) feel their tax burden is too high.
Taxing the rich
Notably, there are some areas of agreement among U.S. taxpayers regarding tax policy.
For example, Gallup found that a majority (55%) "believe upper-income people pay too little in taxes."
Most respondents. seem to support higher taxes on households earning over $400,000. Seven in 10 say corporations aren't paying enough tax.
Pew findings back up the Gallup results on this issue: 61% of Americans believe that some corporations don’t pay their fair share in taxes. A similar percentage, (60%) of the more than 5,000 adults surveyed in 2023, felt the same about wealthy individuals.
Meanwhile, a Navigator Research report revealed that 79% of Americans support raising taxes on the wealthy.
- This reportedly included 94% of Democrats, 78% of independents, and 63% of Republicans.
- Additionally, that support was notably consistent across income levels, from 79% of those making less than $50,000 to 72% of those making over $100,000.
On those issues, the Democratic Nominee, Vice President Kamala Harris, in her tax plan, has pledged not to increase taxes on those making less than $400,000 a year and proposes increasing the corporate tax rate to 28%.
In his tax plan, the Republican nominee, former President Donald Trump has called for lowering the corporate tax rate from 21% to 15%.
He would also maintain tax cuts enacted during his prior administration (the Tax Cuts and Jobs Act, TCJA). Data show that doing so could result in more significant tax benefits for those making more than $450,000 a year.
2024 election tax proposals: Bottom line
So, what does this mean? While the presidential candidates focus on detailed tax plans, voters say they are more concerned with affordability and healthcare costs.
Of course, people still care about fairness in the tax system, but this poll indicates that isn’t the primary concern that some politicians might assume.
But, no matter what the polls say, taxes impact your finances — sometimes in significant ways. For example, several key TCJA provisions are set to expire at the end of 2025 if Congress doesn’t take action. So, how each candidate might handle the TCJA expirations could matter.
So, it’s important to understand each candidate's tax plans, including the specific tax breaks and policies they might pursue. Doing so can further inform your vote or help you better navigate future tax changes.
