WASHINGTON – President Biden releases his first budget today that includes historic levels of spending not seen since WWII and is sure to face problems on Capitol Hill.
The president previewed his plan at Cuyahoga Community College in Cleveland Thursday calling for record spending to keep up with countries like China and Japan.
"We must be number one in the world to lead the world in the 21st century," he said.
His spending plan hikes taxes by more than $3 trillion by raising the corporate tax rate, increasing capital gains rates on top earners, and raising income taxes on the wealthy.
"The best way to grow our economy is from the bottom up in the middle out," he said.
Still, The New York Times reports, he allows Trump-era tax cuts for low earners and the middle class to expire in 2025, although they could be extended in the future.
Among many other things, Biden's plan includes:
- Free preschool to all 3 and 4-year-olds
- Two years of free community college for all Americans
- Subsidized child care
It also incorporates his $1.7 trillion infrastructure plan that Republicans continue to counter.
"We're not raising taxes. We believe that the 2017 tax reform contributed significantly to enabling us to achieve the best economy of my lifetime. And that's no small thing," says Sen. Pat Toomey (R-PA).
The president's budget is just a proposal that must pass Congress, and with big spending and deficits over a trillion every year, it's sure to face criticisms from Republicans. Some Democrats are likely to have concerns as well.