President Joe Biden is campaigning hard for a second “infrastructure” bill that contains a number of significant tax increases on corporations and American taxpayers earning around $400,000 and above, but the bill is swiftly “losing momentum,” and the fight to pass a major tax hike in Biden’s first term could be “over,” per CNBC.
“[W]ith the GOP resolute against tax increases, and with a handful of economists concerned that raising taxes now could risk the economic recovery, some say the outlook for the administration’s tax plans has grown murkier in recent months,” the outlet said Thursday. “The chances of big tax reform in the near term seem reduced, said Tony Fratto, who served as a Treasury official in the George W. Bush administration.”
Biden has been working on the second “infrastructure” bill since earlier this year, and, at one point, even appeared to pressure Republicans and Democrats, who had inked an agreement on the first infrastructure plan, into pairing the two bills. The president had planned to make the tax hike — which would erase some of the tax cuts extended during former President Donald Trump’s first term — a hallmark of his first term.
Fratto, however, told CNBC that things are looking grim for the Biden tax plan.
“I don’t want to say that the fight is over on that quite yet, because I know that there are still proponents of that. But I think that they are hard fights,” Fratto said. “On the corporate side, coming out of the economic situation we’ve been in, you can make a case that you don’t want to squelch the return to growth and job creation, when there are still many millions of people out of work relative to pre-COVID.”- READ MORE
Listen to the insightful Thomas Paine Podcast Below --