Beware tax hikes under Biden, even if GOP holds the Senate

Wall Street has been cheering the election results, believing that the lack of a big blue wave for Democrats means that the major tax increases proposed by the Biden campaign are not going to happen anytime soon. While control of the Senate will not be decided until the Jan. 5 runoff elections in Georgia, most observers believe that it is unlikely that the two Democratic challengers will win and tip control of the Senate to the Democrats.

In Wall Street’s view, Republican control of the Senate makes the chances of the tax increases advocated by President-elect Joe Biden unlikely. As the Wall Street Journal wrote, “Without Democratic control of the Senate, the tax increases would be off the table.”