Cao’s Cuts Could Raise Taxes On Active Duty Servicemembers 

Richmond, VA — Hung Cao called a radical plan that could raise taxes on active duty servicemembers “perfect” – punishing active-duty servicemembers who are working to protect our country.  

In February of 2022, Florida Senator Rick Scott, then serving as the leader of the National Republican Senatorial Committee, rolled out a radical budgetary plan for the GOP that he saw as a blueprint if he were to become Majority Leader. Hung Cao bragged that he was consulted by Rick Scott about the plan and called it “perfect” and endorsed Rick Scott for Majority Leader and called him his political mentor. 

Part of Scott’s 11-point plan was to impose a federal minimum tax, which would harm active duty servicemembers. Currently, active duty servicemembers are exempt from paying federal income tax on combat pay. According to a report from the Joint Economic Committee, a new federal minimum tax in the Scott plan would raise taxes on almost 43 percent of individuals and increase taxes by an average of $450 for middle-income households.  

Mitch McConnell even lambasted Scott for this radical plan, saying “It’s just a bad idea.” What is crystal clear is that while this plan was far from perfect for McConnell, Hung Cao thinks this radical scheme would be “perfect.” 

“Hung Cao supports a radical plan that could raise taxes on active duty servicemembers, harming active duty servicemembers who are currently serving our country,” said Michael Beyer, Communications Director for Senator Kaine’s campaign. “Senator Kaine knows how important it is to honor our veterans, which is why he led the fight to fix a disastrous provision of the Trump 2017 tax cuts imposing extra taxes on Gold Star families. Senator Kaine is always working to support veterans and military families, and he will continue to do so.”  

Cao’s Cuts is a series the Kaine for Virginia campaign launched to highlight how Hung Cao supports a radical plan that could weaken border security; defund law enforcement; jeopardize veterans’ benefits; raise taxes on active-duty servicemembers and disenfranchise veterans; put Medicare, Social Security and Medicaid on the chopping block; raise taxes on Virginia families and small businesses; and give the rich giant tax giveaways. 

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