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Obamacare Repeal Seen as Tax Cut for Top 1%, Raise for Others

  • Highest earners would get average cut of $33,000, study says
  • Finding may complicate Mnuchin’s vow of no tax cut for rich
Pedro Rojas holds a sign directing people to an insurance company where they can sign up for the Affordable Care Act, also known as Obamacare, before the February 15th deadline on February 5, 2015 in Miami, Florida.

Pedro Rojas holds a sign directing people to an insurance company where they can sign up for the Affordable Care Act, also known as Obamacare, before the February 15th deadline on February 5, 2015 in Miami, Florida.

Photo by Joe Raedle/Getty Images

Repealing Obamacare would amount to a tax cut for the wealthiest Americans and a modest tax hike for some of the lowest earners, a new study found.

If the law were eliminated, as President-elect Donald Trump and members of Congress have pledged to do, the top 1 percent of earners would see an average tax cut of $33,000, while the top 0.1 percent would enjoy an average tax break of $197,000, the Tax Policy Center found. The non-partisan group is a joint venture of the Urban Institute and the Brookings Institution.