Time.news – “An unrepeatable opportunity”, the plan of a generation, “powerful and daring”, which will also allow the US to win the competition with China and which does not want to be against anyone, certainly not against millionaires and billionaires. President Joe Biden unveiled his $ 2 trillion $ 8-year infrastructure plan to rebuild the country in Pittsburgh and relaunch employment, a plan to modernize roads, bridges, schools but also much more, a plan to change the economic model: it will try to direct spending in order to mitigate the climate crisis and will have to be financed by tax increases to companies (the corporate tax rate from 21% to 28% and a minimum global tax of 21%).
“It will promote our interests and enable us to win the global competition with China in the coming years.” It is powerful, yes, and bold yes … and we can do it. “” It will create the strongest, most resilient and innovative in the world. And it’s not a plan to blame those who made it, to try to punish someone, it’s about opening up opportunities for others. “Biden insisted he had” nothing against millionaires and billionaires “but criticized companies, such as Amazon, who don’t pay a single cent of income tax.
“I believe in American capitalism,” he assured. But the president wants to rebalance the situation, after taxes were lowered from 35% to 21% during Donald Trump’s tenure. “It was 35%, which was too high but five years ago we all agreed that this rate had to be lowered to 28%.” According to the US administration, raising the rate to 28% will generate $ 1 trillion in additional revenue for the state over 15 years.
“In 2019, an independent analysis revealed that there were 91, I stress, 91 companies that are among the largest companies in the world, including Amazon, that used various legal tricks and did not pay a single federal income tax.” “I don’t want to punish them”, he insisted, but “it’s not normal”; and he was offended that a teacher is subject to a 22% tax rate when “Amazon and others pay no federal tax.” “I’ll put an end to all this.”
The plan allocates 621 billion dollars for infrastructures and electric vehicles, 561 billion for green buildings, schools, energy and water projects, 480 billion for research, 400 for assistance to the elderly and the disabled . 200 billion for broadband and professional training. Just tomorrow, two months after entering the White House, the president will hold his first government meeting with all 21 members of the executive who have so far been confirmed by the Senate.
The plan, which comes shortly after Congress approved nearly $ 2 trillion economic stimulus against the pandemic emergency, is set to open a bitter battle in Congress, where the Dems hold only a narrow majority and will face a strong opposition from the Republicans. Biden wished for bipartisan support. “The divisions of the moment shouldn’t stop us from doing the right things for the future.”
But the road is all uphill. Senate minority leader Republican Mitch McConnell has already said that he will not support “a massive tax hike” or expenses that could drive up federal government debt.