President Biden Planning First Major Tax Hike Since 1993

President Biden is reportedly planning the first major tax hike since 1993. According to people familiar with the matter, the President plans to include it in the next economic spending bill that will follow his $1.9 trillion coronavirus relief package. The next spending initiative is expected to be larger and cost as much as $4 trillion. It won’t solely rely on government debt for funding but may include an increase in not only the corporate tax rate but the individual rate for high income earners.  The change includes raising corporate tax rates to 28% from 21%, raising the income tax rate of those making more than $400,000, expanding the estate tax, creating a higher capital gains tax rate for individuals earning $1 million annually and paring back tax preferences for pass through businesses. The increases will mirror his proposal during the 2020 Presidential Campaign when he vowed to reverse President Trump’s 2017 tax cuts. Also making headlines out of Washington….During a press conference yesterday, Maryland Senator Ben Cardin was caught on a hot mic telling Transportation Secretary Pete Buttigieg that the reconciliation process would be needed to make the infrastructure package pass through congress. He told Buttigieg the bill would be set up in a similar way to the recent Covid relief bill President Biden signed into effect last week.