Connect with us

Entertainment

Biden plans to ask Congress to pay $ 1.8 trillion for new spending

President Biden plans to ask Congress to pay the full $ 1.8 trillion in new spending on health care, child care and education, which he will present Wednesday night.

Why is it possible? Biden’s decision to fully offset both the $ 2.25 trillion US work plan announced last month and the $ 1.8 trillion US family plan for his joint speech, but all guarantee big political battles on both the cost and tax sides. for a combined $ 4 trillion. suggestion:

Receive timely market news through Axios Markets. Subscribe for free

  • To pay for the second package, Biden has zeroed in on a number of tax increases for the rich, including raising the upper limit rate and almost doubling the rate of return on capital.

  • He will also take advantage of some of the corporate tax increases he announced last month, paying part of a $ 1.8 trillion plan, as individual tax increases will not cover the entire offer.

  • Biden will pledge not to raise taxes on households earning less than $ 400,000.

  • According to Bloomberg News, Biden does not plan to raise real estate tax rates or reduce benefits.

  • To claim that the programs are being reimbursed, the White House will calculate the increased revenue over a 15-year window to pay the $ 4 trillion cost, most of which they will make in eight years, people tell Axios.

The big picture. Biden will use his first message to Congress to calculate the first 100 days of his tenure. He will also try to make the extra expenses he foresaw during the campaign as part of his “Build Better” agenda.

  • He has already signed $ 1.9 trillion in epidemic aid, which was passed to Congress in March by a purely partisan vote.

  • In total, Biden will demand about $ 6 trillion in new spending from Congress outside of its annual budget.

Go deeper. The American Families Program will offer four years of free education, two of which are pre-school education, and two years of community college.

  • The president will also offer more money at some Pell Grants և tuition-lowering colleges, including historically college colleges and universities.

  • In addition, he plans to increase paid family leave and extend the child tax credit.

  • Finally, Biden wants to stabilize temporary health insurance tax credits on the Obamacare stock exchanges that were part of the US bailout, Akios has learned.

Editor’s note. This article has been updated to include President Biden’s real estate tax plans.

More from Axios. Sign up for the latest market trends with Axios Markets. Subscribe for free

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *