On Thursday, President Joe Biden’s budget proposal about cutting deficits by nearly $3 trillion in the next decade along with a minimum tax on the richest, an announcement was seen as a build-up to his reelection pitch.
US Pres. Biden’s Budget Proposal
President Joe Biden’s budget proposal allows for a deficit cut of nearly $3 trillion in the next decade along with a minimum tax on the wealthiest but the proposals set up a long stand-off in Congress which is currently split between Democratic and Republican control to set and fund a budget for the government.
With Biden likely to run for reelection in 2024, his budget is also a preview of his platform as a candidate and campaign pitch in the year ahead. The president submits his budget to Congress outlining the administration’s priorities for the upcoming year, but ultimately Congress decides where the funds are allocated.
Here Are Some of The Highlights In Biden’s Budget Proposal
According to President Joe Biden’s budget proposal on Thursday that he is proposing a 25 percent tax on the wealthiest 0.01 percent or those with wealth surpassing $100 million.
A core feature of Biden’s proposals is a plan to raise taxes on high-earners to ensure that Medicare the government-funded healthcare system for people over 65 remains solvent. The budget raises the Medicare tax from 3.8 percent to five percent for the wealthiest Americans.
The aim is to extend the solvency of the Medicare Trust Fund by at least 25 years, amid warnings that the program risks running out of money by 2028 without intervention.
Cutting ‘wasteful spending’
The White House added Thursday that the President’s budget will cut the federal deficit by nearly $3 trillion over the next decade — up from the $2 trillion reduction Biden was earlier aiming for. Apart from “making the wealthy and big corporations pay their fair share,” the aim is to slash “wasteful spending” on Big Pharma and the oil industry as well, the White House said.
Defense and security
The budget also flags continued support for Ukraine and the United States’ alliance with the states of the North Atlantic Treaty Organization. It requests resources to “out-compete China” while looking to boost capabilities in the face of “Russian aggression.”
The budget includes nearly $25 billion for US Customs and Border Protection and Immigration and Customs Enforcement, with funds to hire more border patrol agents and fight fentanyl trafficking.
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