The Biden administration is pulling out all the stops in an effort to gain the favor of all Americans. Biden promised his pledge once more that no American earning less than $400,000 would not pay “a single penny” in additional taxes, with a politician twist of course.
During his speech at Tidewater Community College, Biden appeared to “mistakenly” leave out a keyword when he instead said that no one under $400k would pay any taxes.
“The reason I’m bothering to do this is I keep hearing in the press ‘Biden’s going to raise your taxes’ – anybody making less than $400,000 a year will not pay a single penny in taxes,” Biden said.
Last week, Biden unveiled his $1.8 trillion American Families Plan, which focuses on education and child care. This is after the Biden administration announced the American Jobs Plan, a $2 trillion investment that would revamp much of the nation’s infrastructure.
Both spending plans rely on tax hikes on businesses and the wealthy for funding.
The American Jobs Plan establishes a global minimum tax of 21% and eliminates various perceived loopholes in the corporate tax code. It also includes an increase in the corporate tax rate to 28% from 21%,
The second proposal contains a number of increases on individuals and households, notably raising the top personal income tax rate to 39.6% from 37%.
The proposal would increase the capital gains tax rate for individuals earning more than $1 million to 39.6%, bringing it in line with the proposed top individual tax rate. Currently, short-term capital gains are taxed at the same rates as income, but long-term gains are taxed at lower rates.
