The final numbers won’t be these…
They have to get past Senate Republicans AND Senate Democrats also….
The list below would allow Biden to get to0 $2.9 Trillion.
That’s more than Manchin and other Democrats seem to want…..
But we feature them below….
House Democrats will consider as much as $2.9 trillion in tax hikes for the next 10 years — mostly on the extremely wealthy and corporate America — as they scramble for ways to pay for President Biden’s $3.5 trillion infrastructure and social spending plan.
Why it matters: A draft proposal from the Ways and Means Committee, which ricocheted across Washington Sunday night, previews epic fall fights between Democrats and some of the best-armed lobbies in America.
Driving the news: The summary, first reported by The Washington Post, includes a top personal rate of 39.6%, up from 37%, which would raise $170 billion over 10 years.
- Democrats are looking to raise $1 trillion from the wealthiest Americans and $900 billion from corporate America.
- While President Biden has defined the “rich” as any individual or householdthat makes more than $400,000, the Democratic plan draws the line for individuals at $400,000; households at $425,000; and married couples at $450,000.
By the numbers: The top capital gains rate would increase to 25% from 20% — raising some $123 billion.
- Changes to what qualifies as investment income, some of which is already subject to 3.8% Obamacare tax, would make the effective capital gains rate 28.3%, raising $252 billion.
- Accelerating the end of the $24 million estate tax exemption would bring in another $50 billion.
- Imposing an additional 3% tax on Americans who make more than $5 million would raise $127 billion.
- Expanded restrictions on carried interest impacting how private equity firms compensate employees could bring another $14 billion.
- The pharmaceutical industry could be forced to foot $700 billion of new spending by negotiating rates directly with Medicare.
Add these provisions and others up and you get to $2.9 trillion….
House Democrats are ALREADY cutting back tax increases on their own….
…There are several areas where House Democrats’ proposal does not go as far in increasing taxes on corporations and the rich as Biden had proposed earlier this year….
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Congresswoman Alexandria Ocasio-Cortez took to the 2021 Met Gala on Monday evening with a bright red message for Americans: “Tax the Rich.”
Dressed in a white off-the-shoulder gown by Brooklyn-based designer brand Brother Vellies, the New York politician revealed the statement, scrawled in bold lettering on the back of her dress, as she ascended the steps of the Metropolitan Museum of Art….
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