Trim Tabs’ Charles Biderman states that the US economy will be immediately negatively impacted by higher taxes- with or without a fiscal cliff deal. He states the best deal we can expect will raise taxes by around $200 billion, which would result in an annualized 3% drop in after tax take-home pay! If no deal is reached, taxes will increase by $500 billion, which would result in a whopping and incredible 7.5% drop in after tax take-home pay for Americans! Biderman states this massive cut in American’s take-home pay will DEVASTATE both the US and global stock markets!
Biderman’s full update below: