The President Releases His Budget, Hearings Begin

Raising taxes, spending more, cutting the deficit… In a speech in Philadelphia yesterday, President Biden unveiled a plan to spend over $2 trillion on new policy initiatives and raise over $4.5 trillion in revenue. It would raise the corporate tax rate from 21 percent to 28 percent and impose a minimum tax of 25 percent on households with a net worth of at least $100 million. 

Today on the Hill. The House Ways & Means Committee will hear testimony from Treasury Secretary Janet Yellen on President Biden’s budget request for fiscal year 2024. The budget proposal includes an additional $1 trillion in tax subsidies for lower- and middle-class Americans. It also allocates $14.1 billion to the IRS, (via Tax Notes, paywall), the same amount requested last year and an 18 percent increase from what was eventually appropriated.

And next week on the Hill… On Wednesday, March 15, the Senate Budget Committee will hold a hearing on the president’s budget with Office of Management and Budget Director Shalanda Young. On Thursday, March 16, Treasury Secretary Yellen will discuss the budget request with the Senate Finance Committee. 

Tune in next Thursday at noon for TPC’s monthly Prescription with the Manhattan Institute’s Brian Riedl. He will discuss President Biden’s latest budget plan and congressional Republican budgeting priorities, as well as ongoing negotiations over the debt ceiling. Learn more and register here for the March 16 virtual event.

For the latest tax news, subscribe to the Tax Policy Center’s Daily Deduction. Sign up here to have it delivered to your inbox weekdays at 8:00 am (Mondays only when Congress is in recess). We welcome tips on new research or other news. Email Renu Zaretsky at [email protected].

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