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Biden Announces $4 Trillion Proposal, Corporate Tax Increase

Biden Announces $4 Trillion Proposal, Corporate Tax Increase

President Joe Biden on Wednesday announced a corporate tax increase that will provide funding for his $2 trillion infrastructure plan over the next 8 years. 

The so-called “American Jobs Plan” pushes the corporate tax rate from the 21% established by former President Donald Trump to a whopping 28% and incentivizes companies to remain in the US by setting a 21% global minimum tax. The initiative also blocks companies from merging with foreign businesses to avoid taxation.  

President Biden’s infrastructure plan is “about making an investment in America – not just modernizing our roads or railways or bridges but building an infrastructure of the future,” said White House Press Secretary Jen Psaki.

A majority of the $2 trillion will go towards: 

  • Improving roads, bridges, and public transit 
  • Upgrading the power grid to deliver clean electricity
  • Retrofitting homes, schools, hospitals, and other major facilities
  • Constructing a national network EV stations 
  • Replacing lead water pipes
  • Upgrading sewer systems
  • Expanding broadband Internet 

“I’m convinced that if we act now, that in 50 years, people will look back and say this was when America won the future,” said Biden, claiming the plan would be fully paid for in 15 years.

White House officials say the proposal will create millions of “good-paying union jobs” as the nation moves away from fossil fuel and ups the fight against Chinese manufacturing. Opponents worry about the implications of tax increases and lost jobs during a time of economic uncertainty.

“It seems like President Biden has an insatiable appetite to spend more money and raise people’s taxes,” argues Rep. Steve Scalise (R-LA). 

Even some Democrats are uncomfortable with the proposal’s high price tag.

“We need to be careful not to do anything that’s too big or too much in the middle of a pandemic and an economic crisis,” warns Rep. Josh Gottheimer (D-NJ). “It’s got to be responsible and both parties need to be at the table. This can’t just be jammed through without input and consideration from the other side.”

Biden is expected to unveil a second proposal in April – also valued at $2 trillion – that will fund domestic policy objectives including: 

  • Increased investment in child care and tax credits
  • Universal pre-kindergarten 
  • Expanded affordable healthcare for the elderly and disabled 
  • Housing infrastructure 
  • Tuition-free community college 
  • Increased pay for care workers 

The second initiative, which includes massive investments for R&D in technology and climate science, will be paid for by increased taxes on Americans earning more than $400,000 per year.

“Put simply, these are investments we have to make,” said Biden. “Put another way, we can’t afford not to.”

Author’s Note: We have been expecting Biden to implement a tax increase, and here it is. Unfortunately when you increase taxes on a corporation, the corporation increases prices for the consumer. There is no such thing as a ‘corporate tax hike.’

Sources:

Eager to Build Infrastructure, Biden Plans to Tax Business 

Biden to announce up to $4 trillion infrastructure plan with massive tax hikes 

‘We can’t delay’: Biden proposes $2 trillion infrastructure, jobs plan funded by corporate tax hike 

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3 Comments

  1. David

    All the DEMWITTS “eat this crap up”, all sounds good until “NOTHING GOOD HAPPENS” and we all GO BROKE like in 1920! PRIME EXAMPLE “WHY”, TRUMP A BUSINESSMAN rather than BIDEN WHO HAS DONE NOTHING IN OVER 40 YEARS IN DC made such an IMPACT ON THE US in just 4 SHORT YEARS! CRAZY JOE is just doing what he has always done MOVE JOBS TO CHINA and DESTROY THE US ECONOMY! ITS ALL “SMOKE and MIRRORS” and the DEMWITTS “ONLY SEE” FREE MONEY!

    Reply
  2. Rivahmitch

    pure BS.. The federal government will be taking over things which are currently handled by state, local and small local businesses and giving their communist labor union buddies control of everything.. Just look at the big blue cities and their unsupportable union contracts {“prevailing wage” is a union payoff) slow and poor work and outrageous retirement deals and you see what this plan will do to the country. As to those people looking back ion 50 years… well.. they’ll all be living in Uncle Joes 300 square foot apartments and paying the debt his plan will incur…

    Reply
  3. Alan Brandenburg

    Not going to affect us. He and Fauci already run us out of business.

    Reply

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