WASHINGTON (AP) — President Joe Biden on Monday announced a proposed budget that calls for higher taxes for the very wealthy, lower federal deficits, more money for police and increased funding for the education, public health and housing.
Essentially, he’s trying to tell voters what a diverse and sometimes fractured Democratic Party stands for ahead of the midterm elections that could decide whether Congress remains under party control.
Bottom line: Biden is proposing a total of $5.8 trillion in federal spending for fiscal year 2023, which begins in October, slightly less than what was expected to be spent this year before the spending bill additional ones are enacted this month. The deficit would be $1.15 trillion.
There would be $795 billion for defense, $915 billion for national programs, and the balance would go to mandatory spending such as Social Security, Medicare, Medicaid, and net interest on the national debt.
Republican U.S. Senator from Oklahoma Jim Inhofe, a senior member of the Senate Armed Services Committee, said in a statement that Biden’s proposed budget for the military would leave the nation dangerously ill-prepared to deal with the realities of an increasingly hostile world.
“President Biden’s defense budget reflects the world he wants – but not the world as it is,” Inhofe said. “You simply cannot look at the world around us now and think that this budget is sufficient to meet all the threats we face, let alone accelerate our attempts to maintain or restore deterrence and ensure American interests for our children and grandchildren.
“Most problematic,” Inhofe continued, “is that this budget neglects to sufficiently account for historical inflation. The Pentagon’s inflation assumptions for 2023 are almost certainly low, and the budget does not compensate for inflation current inflation records I am particularly concerned about the loss of purchasing power of the military, like all American families.
Higher taxes outlined in Biden’s budget would generate $361 billion in revenue over 10 years and apply to the top 0.01% of households. The proposal lists an additional $1.4 trillion in revenue generated over the next decade from further tax increases intended to preserve Biden’s pledge not to raise taxes on people earning less than $400,000. .
The 156-page plan also shows the shards that persist in Biden’s coalition and the possible gaps between the promises of what’s on offer and the realities of what ultimately emerges. Biden has backed many of these ideas before without necessarily getting full congressional buy-in.
The proposal includes a minimum tax of 20% on household income worth $100 million or more, similar to an earlier proposal Democrats in Congress began debating late last year in an effort to pay for Biden’s domestic spending plans. But those spending plans were put on hold after talks with West Virginia Sen. Joe Manchin broke down.
More money would go to supporting law enforcement, but bipartisan police reform efforts have failed. The budget assumes – with a high degree of uncertainty based on forecasts made last November – that inflation at a 40-year high will return to normal next year.
“Budgets are statements of values,” Biden said in a statement, “and the budget I release today sends a clear message that we value fiscal responsibility, safety and security at home and around the world, and the investments necessary to continue our equitable action”. growth and building a better America.