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Biden budget aims to cut deficit by nearly $3 trillion

Published 03/08/2023, 12:36 PM
Updated 03/08/2023, 02:41 PM
© Reuters. FILE PHOTO: U.S. President Joe Biden addresses the International Association of Fire Fighters' (IAFF) 2023  Legislative Conference in Washington, U.S., March 6, 2023. REUTERS/Leah Millis

© Reuters. FILE PHOTO: U.S. President Joe Biden addresses the International Association of Fire Fighters' (IAFF) 2023 Legislative Conference in Washington, U.S., March 6, 2023. REUTERS/Leah Millis

By Trevor Hunnicutt

WASHINGTON (Reuters) -President Joe Biden's budget proposal on Thursday will aim to cut U.S. deficits by nearly $3 trillion over 10 years, far more than the $2 trillion the administration previously targeted.

The Democratic president will propose raising taxes on companies and people earning over $400,000 a year in an effort to curb government red ink, while protecting Social Security, Medicare and Medicaid from cuts.

"It proposes tax reforms to ensure the wealthy and large corporations pay their fair share while cutting wasteful spending on special interest interests, like Big Oil and Big Pharma," White House spokesperson Karine Jean-Pierre told reporters on Wednesday.

Biden, who intends to unveil his budget plan with an unusually prominent roll-out in political swing-state Pennsylvania, had floated the $2 trillion deficit reduction figure during his State of the Union address last month.

Jean-Pierre did not provide details about how the additional $1 trillion would be funded, though the administration is expected to propose additional tax hikes on wealthy Americans and corporations.

© Reuters. FILE PHOTO: U.S. President Joe Biden addresses the International Association of Fire Fighters' (IAFF) 2023  Legislative Conference in Washington, U.S., March 6, 2023. REUTERS/Leah Millis

Analysts said it was unlikely that the proposals would win quick support on Capitol Hill, where control of Congress is divided between Democrats and Republicans.

"This week, I'll show Americans my full budget vision to invest in America, lower costs for families, and grow the economy without raising taxes on anyone making under $400,000," Biden said on Twitter Wednesday. "I urge my Republican friends in Congress to do the same. Show the American people what you value."

Latest comments

the usual suspects already in place here, trying to put a negative spin on every single thing Biden does... get a life losers
They are deeply sensitive snowflakes and beta followers of propagandists
If history is any gauge, there will be a BIG difference between what he promises and what the American people actually realize. And it won't be good for America.
Nothing this guy says is lógicamente or reasonable, over two years into this disaster! They only thing we can do is hold on for the long ride even after this pathetic administration!
Doesn't sound like he is budgeting anything just continuing the spending spree and taxing the middle class more. Business as usual.
400000k a year isn't  the middle class - but good try
his Medicare fix actually taxes the majority of small business owners, who typically make less than 400k. so it's a lie, as usual, that it does not tax under 400k. not to mention the inflation it causes, is a tax on everyone
Great picture of Joey. Just the kind of young, vigorous guy you want making life-or-death decisions for 350,000,000 people.
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