President Biden’s new tax hike push is a "war on success" and the markets are "definitely" going to react to it, Fitz-Gerald Group chief investment officer Keith Fitz-Gerald told FOX Business’ Stuart Varney on Monday.
KEITH FITZ-GERALD: I think the market has already factored that in. Longer-term, though, I think it's a very, very different equation. You can call this a war on success, scorched Earth tax policy, whatever you want, but big government equals small wallet. And I think the markets are definitely going to react to it. The only question is how?
I think it's a two-fold problem. I think corporate is only half of the equation, because if you clobber the personal tax exemption, then in some states, for example, your tax load is going to be over 50%, which is the very definition of socialism. Your government now has more control over your money, your income and your taxes than you do.
The reality of the situation is if you look at history, it hurts the very people you're going to, you're going to help. People with that kind of money… have access to the best tax lawyers, the best accountants. And again, the data I've seen suggests that if President Biden goes ahead with what we know of his tax plans, it's a 9 to 11% hit for the average S&P 500 EPS earnings per share.