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Biden’s corporate tax hike plan is under threat from Democratic senators

President Joe Biden’s plans to raise taxes on American companies and wealthy families have been questioned by resistance from Arizona Senator Kyrsten Sinema.

According to people familiar with the talks, senior Biden administration officials met with top Democrats at Capitol Hill on Wednesday to recreate their planned steps to raise their funds. $ 3.5 trillion spending package — With a slow scramble after a few weeks of negotiations.

The White House and Congress leaders Corporate tax rate From 21% to at least 25%, with rising personal income and capital gains tax rates for the wealthiest households.

However, opposition from Cinema, a Democrat who has emerged as a major thorn on the Biden side in fiscal policy, has become more and more established in recent weeks, with White House and senior Democrats losing if tax rates rise. We are forced to consider other ways to supplement our income.

If the corporate tax hike is abolished, it will be a big win for the big US companies and their lobbyists who have been pushing to maintain the current tax rate.

National Economic Council Chairman Brian Deese and Treasury Secretary Janet Yellen met with Ron Wyden and Parliamentary top tax councilor Richard Neale on Wednesday to come up with possible alternatives.

Among them are the additional tax on share buybacks previously advocated by Weiden and the minimum tax on book profits that the White House will support and will increase the corporate tax burden. On the individual side, officials and lawmakers discussed the possibility of taxing the wealth of millionaires, according to people familiar with the matter.

“The president is paid by forcing the wealthiest taxpayers and large corporations to pay fair distributions, a picture of economic growth that benefits the middle class without raising taxes on Americans under $ 400,000. We’re working to get the money going through, “A spokesperson for Andrew Bates, White House, told the Financial Times.

“There is a rich menu of options on how to fund the president’s plan to ensure that our economy is delivered to hard-working families, and none of them are off the table.” He added.

Those familiar with the negotiations said no final decision had been made and nothing was excluded, but the planned increase in the personal income tax rate from 37% to 39.6% of the highest-income earners was better than the legal entity. Income tax hike, which said it is likely to survive.

Joe Manchin, another Conservative Democrat trying to limit Biden’s economic agenda, also wants a lower tax increase than the White House, but raises corporate taxes to 25% and raises the personal tax rate for wealthy people. I support pulling it up. ..

The cinema office declined to comment.

The fate of an international tax bill, including a minimum tax of 15%, agreed as part of a multinational agreement in the OECD was unclear, but Yellen was “confident” that it would be included in every package earlier this month. Said.

Biden and the overwhelming majority of Democrats will invest up to $ 3.5 trillion over the next decade to strengthen government support for childcare, health care, education and the fight against climate change and rebuild the U.S. economy. I wanted to approve it. Faced with unanimous opposition from the Republicans and skepticism from a very small group of conservative dissidents, including Cinema, they are discussing ways to reduce spending to less than $ 2 trillion.

Individual Democrats, such as Cinema, have extraordinary influence in parleys for the party’s very flimsy Democratic majority in both the House of Representatives and the Senate. The White House and Democrats wanted Biden to come up with a compromise within the party by the end of this month before attending the G20 summit in Rome. COP26 Climate Conference In Glasgow, however, it’s unclear if they will reach that goal.

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Biden’s corporate tax hike plan is under threat from Democratic senators

Source link Biden’s corporate tax hike plan is under threat from Democratic senators

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