Republicans are speaking out against components of President Biden's budget proposal, expecting it to contain rampant spending increases to worsen inflation in America and raise "taxes, taxes, and more taxes."
The proposal, which the president is expected to address during a speech in Philadelphia on Thursday, would cut deficits by nearly $3 trillion over the next decade, according to the White House. The budget also includes a 25% minimum tax on the wealthiest 0.01 percent and increases the Medicare tax rate from 3.8% to 5% on individuals with an income exceeding $400,000 per year, including salaries and capital gains.
Additionally, the proposal is reportedly slated to repeal aspects of the 2017 Trump tax cuts with the restoration of the top tax rate of 39.6% for those making more than $400,000 a year, raises the tax rate on U.S. multinationals’ foreign earnings from 10.5% to 21%, and increases taxes for oil and gas companies.
WHITE HOUSE COMMITS TO RAISING TAXES IN BIDEN'S BUDGET, TRASHES TRUMP TAX CUTS
Despite what's included in the proposal, Republicans, who are calling for sharp spending cuts, believe Biden's budget wish list falls in line with past efforts from his administration to spend heavily on efforts that won't contribute to financial success for working-class Americans.
During a Thursday appearance on Florida's Ed Dean Morning Show, Sen. Rick Scott, R-Fla., slammed the proposal, saying Biden would worsen inflation.
"You haven't seen the budget, but here's what you know: tax increases, bigger government, Green New Deal, no money for the border, kill all the fossil fuels," Scott said. "So, what you know is, whatever Biden purposes, it's going to be bad for you. If you like inflation, he's your man."
"He's going to cause more inflation because government spending causes more inflation. Simple as that," Scott added of Biden's proposal.
Similarly, Texas GOP Sen. John Cornyn took aim at Biden's proposal Thursday morning, writing in a tweet: "Taxes, taxes, and more taxes."
In another tweet, Cornyn shared a line featured in Politico about Biden's budget proposal. "It’s a messaging exercise. And as such, the White House sees no downside whatsoever to throwing out things that will never pass the Republican-controlled House. The fight is the point."
Sen. Marsha Blackburn, R-Tenn., also offered a few comments on social media ahead of the budget proposal release, writing in a tweet: "We have an out-of-control spending problem, and the Democrats won’t do anything to get it under control."
"Biden has repeatedly lied, saying Republicans want to cut Medicare," Blackburn added in a separate tweet.
BIDEN PROPOSES TAX INCREASE FOR THOSE MAKING OVER $400K TO BOOST MEDICARE FUNDING
Rep. Dan Meuser, a Republican representing Pennsylvania's 9th Congressional District in the House, said Thursday that Biden's proposal "advances entitlements, spends excessively and kills growth with tax increases."
"What we have here is what you could sum up as a tax and spend initiative, a budget that is, frankly, going to be DOA," Meuser told Fox Business. "He's now trying to kill growth with these [tax] increases.… This is an anti-growth budget."
"This is something we think is important," White House press secretary Karine Jean-Pierre said Wednesday of Biden's plan. "This is something that shows the American people that we take this seriously."
The White House has consistently called into question Republicans’ commitment to what it considers a sustainable federal budget. Administration officials have claimed that the various tax plans and other policies previously backed by GOP lawmakers would add roughly $3 trillion to the national debt over 10 years.
The government this summer is likely to exhaust its emergency measures to keep Washington running, setting up the risk of a default on payments along with a series of job losses that could crash the economy.
Biden’s package of spending priorities is unlikely to pass the House – which is controlled by Republicans – or the Senate as it is proposed. Senate Minority Leader Mitch McConnell, R-Ky., said Tuesday that the plan "will not see the light of day," a sign that it might primarily serve as a messaging document going into the 2024 elections.
In February, the nonpartisan Congressional Budget Office estimated that the national debt held by the public will grow by more than $20 trillion over the next decade. The publicly held debt — which reflects the cumulative impact of yearly deficits — would be equal to 118% of U.S. gross domestic product, up from 98% this year. Biden’s budget would reduce the debt, though it would still be high relative to historical levels.
The Associated Press contributed to this article.
