Time.news – US President Joe Biden is ready to launch the largest federal tax hike since 1942, the New York Times writes. It could help pay for a range of spending programs that liberal economists predict would bolster the economy’s performance and fix a tax code that Democrats say encourages the rich to hoard and big corporations to send jobs and profits to the world. ‘abroad.
The question is whether Congressional Democrats and the White House can agree on how quickly taxes should rise and who, exactly, should foot the bill. While the goal of reversing many of Trump’s tax cuts since 2017, and making the rich and big business pay more, is widely shared, there is no agreement among the dems themselves on the details – and since Republicans are unlikely support their efforts, they have no room for error in a strictly divided Senate.
For Biden, finding a consensus is urgent: he will be in Pittsburgh on Wednesday to announce the next phase of his economic agenda – a set of programs that would invest in infrastructure, education, carbon reduction and support for working mothers and cost 3,000 to 4,000. billions of dollars. The increase in taxes, to be implemented also through the abolition of the tax reduction for companies desired by Donald Trump, should translate into tax revenues of 2.5 trillion dollars.