President Joe Biden is planning to raise federal taxes to pay for the follow-up to his new Crown Mitigation Act, according to people familiar with the matter. The tax increase is the first significant increase since 1993, according to the report.
Bloomberg: The next phase of Biden’s economic plan focuses on tax increases, which would be the first big increase since 1993
Unlike the $1.9 trillion stimulus bill, the government’s next initiative is expected to be larger and not solely funded by government debt, the report said. It is increasingly clear that tax increases will be part of the package.
Bloomberg said that for the Biden administration, the tax increase plan is an opportunity not only to fund infrastructure, climate issues and other issues, but also to address what Democrats say is the inequity of the tax system. Reports say the plan will test Biden’s ability to bring Republicans and Democrats together to stay united.