Joe Biden will return to Pennsylvania on Wednesday where he will be announcing his multi-trillion-dollar infrastructure initiative. The plan will be partially funded by the largest federal tax hike in three decades.
When he visits Pittsburgh, the nation’s 46th president will take the initial steps toward implementing the controversial Green New Deal policies that have been championed by the likes of Bernie Sanders and Alexandria Ocasio-Cortez. They are being marketed under the slogan “build back better” with the promise of a plethora of “green jobs” to combat climate change, fulfilling a major campaign promise to his far-left base.
The White House which has posted a fact sheet for “The American Jobs Plan” to the official website states that “this is no time to build back to the way things were. This is the moment to reimagine and rebuild a new economy” and promises to “create millions of good jobs, rebuild our country’s infrastructure, and position the United States to out-compete China.”
The propaganda blitz by Democrat operatives has already begun.
Joe Biden will announce his infrastructure plan tomorrow.
Investment in working people is the key to economic growth, not tax cuts for the uber-rich.
We’re finally approaching the end of trickle-down economics. Good riddance. pic.twitter.com/FCVOXItLr5
— Robert Reich (@RBReich) March 30, 2021
Someone of course is going to have to foot the bill, and the first installment for Biden’s radical transformation of America will be in the form of nearly $2 trillion in new taxes. This theft will largely target the nation’s wealthiest people and corporations, but these things always have a trickle-down consequences. The third-order effects will undeniablycome in the form of job losses and rising prices.
According to a report by Axios, the four main pillars of Biden’s initial tax increases will be:
The biggest-ticket item would raise the corporate rate from 21% to 28%. That’s worth $730 billion over 10 years, according to the Tax Policy Center.
The other three would:
Impose a global minimum tax on profits from foreign subsidiaries: $550 billion.
Tax capital gains as regular income for the wealthy and tax unrealized capital gains at death: $370 billion.
Return the top individual rate for those making more than $400,000 to the pre-Trump rate of 39.6%: $110 billion.
Biden needs to create an illusion of bipartisanship in a Democrat-controlled Senate and a razor-thin 50-50 margin with Kamala Harris as the deciding vote. Therefore the “infrastructure” package will be split into two, with the first part expected to focus on roads and bridges, water systems, retrofitting buildings and wider access to broadband internet that could draw some GOP support.
According to White House Press Secretary Jen Psaki; “Roads, railways, rebuilding them, that’s not a partisan issue. That’s a lot of what the president will talk about this Wednesday.”
Additional taxes left out for now include a hike on income taxes for wealthier households, the rollback of breaks for “pass-through” entities (which would be a major blow to small businesses that are still reeling from lockdowns), and the per-mile tax hinted at by Transportation Secretary Pete Buttigieg last week.
Transportation Secretary Pete Buttigieg says taxing drivers by the mile “shows a lot of promise” and could be a way to fund a big infrastructure overhaul. pic.twitter.com/fkI5nWt7sr
— The Recount (@therecount) March 26, 2021
The second part of Biden’s “infrastructure” package to be rolled out later will be stuffed with liberal agenda items that didn’t make it into the COVID “relief” bill. This laundry list includes free community college tuition and other goodies that “will address a lot of issues that American people are struggling with,” according to Psaki.
Even though the Biden administration is looking to draw “bipartisan” support for the first portion, Democrats won’t wait long before passing it without any Republicans if necessary.
According to Bloomberg: Biden’s plans don’t necessarily need Republican support to become law. Senate Majority Leader Chuck Schumer and House Speaker Nancy Pelosi could choose to fit many of the president’s proposals into one or more budget reconciliation bills, which require only a simple majority vote in the Senate. The challenge is, as Pelosi has already indicated, that not all elements could fit into such a bill, which sets certain requirements for inclusion.
If Democrats resort to reconciliation, tens of millions of Americans are soon going to find out that they are now subject to taxation without representation.