President Biden on Wednesday unveiled another money-laundering bill, dubbed the U.S. Household Plan, which would increase federal spending by $ 1.8 trillion by raising taxes on U.S. investors and investors.
The package includes $ 511 billion for education, universal preschool for 3- and 4-year-olds and a free community college, and $ 225 billion for child care, a subsidy that will cover most workers’ expenses at 7 percent of income. mother. The plan calls for $ 225 billion to be spent on 12 weeks of parental leave and sick leave and another $ 45 billion to be spent on school meals and meal programs.
About $ 800 billion will go to tax credits, $ 200 billion to Obamacare users. The plan will continue to expand tax credits for people with children – from $ 2,000 a year to $ 3,000, or $ 3,600 for children under the age of six.
But in a major coup the Democrats of the New York area Govt. Andrew Cuomo, too, dismisses the offer removal of SALT 2017 download cap of $ 10,000 per person, which taxed residents of higher tax states and prevented them from levying state tax payments on federal tax refunds.
Cuomo has used the possible cancellation of the SALT cap to justify the New York State tax increase on business and the rich.
Representative Tom Suozzi (D-NY) and two New Jersey Democrats – Josh Gottheimer and Bill Pascrell – said they would not vote for the final package if it did not reverse the SALT capsule, which actually raised taxes on many New Yorkers by restricting state and local taxes that can be deducted before paying federal taxes.
The massive offer of “households” will be offset by a tax increase on the highest level – from 37 per cent to 39.6 per cent paid for individual documents. more than $ 523,000 or joint ventures over $ 628,000 – and on investments such as stocks and nonprofits.
The capital gains tax rate will increase to 39.6 per cent for people with an annual income of more than $ 1 million, which would be a significant increase from the current top rate of 20 per cent. For New Yorkers, the rate of return on state and federal capital can be high by as much as 52.22 percent.
The IRS also proposed a further map on the rich to break the tax burden by increasing tax regulators – although there is an estimated $ 700 billion in 10 years that would surely take Republicans away.
A senior administration official told reporters that Biden only wants more horrific tax cuts for the rich and not for the middle class.
“Americaro in the United States, taxpayers are more likely to be controlled than those living on Park Avenue if they live in the Mississippi Delta. The president’s plan will change that,” the official insisted.
“Welfare rates for Americans earning less than $ 400,000 a year will not increase in recent years. The goal of these steps will be to focus on the sea and increase resources for large corporations, businesses, estates and high-income individuals.”
It is in the last three bills that Democrats are expected to try to gain little or no Republican support in Congress if they can distance themselves from centrists like Senator Joe Manchin (DW.Va.) in the Senate that came as an equal. avoid sharing. .
Last month, Biden passed Congress $ 1.9 trillion in COVID-19 funding – including $ 1,400 in multi-person incentive controls and $ 350 billion in state and local aid – without any Republican vote through the budget approval process that passes the regular 60-vote clause to pass legislation. Become the Senate.
Congress still prepares $ 2.3 trillion Biden infrastructure bill – which will be included $ 400 billion for home health care and nearly $ 200 billion for electric vehicle partnerships. Will be paid by her raising corporate tax rates, although the additions are related to the “families” map have also been discussed as part of this draft.
The infrastructure plan and the “family” can be passed separately under a budget agreement thanks to a Senate House resolution that gave Democrats two more opportunities this year to use special rules.
But tax increases and cost features could lead to protracted conflicts on Capitol Hill. Democrats in the Assembly have a six-vote advantage, meaning Suozzi and his allies have the power to block the latest package on the SALT download if they remain firm.