The Biden administration proposes extra spending in the budget that it argues will drive economic growth and job creation, as well as a number of tax revisions. Over the following decade, the Biden administration estimates that their budget will lower the deficit by more than $1 trillion.
Biden’s Federal Budget Proposal
President Joe Biden’s 2023 federal budget proposes more taxes on the ultra-rich and companies while increasing spending for the Defense Department and the Justice Department by billions of dollars. Biden’s budget proposal offered to Congress promises a $1 trillion decrease in the federal budget deficit over the next ten years.
This will be paid for in part by increasing the corporation tax rate from 21% to 28%, a number that progressive Democrats support but key moderates detest. Biden also recommends a new 20% minimum tax on the top 0.1% of earners and households with a net worth of well over $100 million.
Defense Department & Justice Department Spending Components
Biden proposed a $5.89 Trillion annual budget for the fiscal year of 2023. Approximately $31 billion is provided for the Defense Department to spend, which leads to a total sum of $813 billion dollars. According to the White House, $6.9 billion was distributed to NATO (The North Atlantic Treaty Organization), European defense, and Ukraine to refute Russia’s aggression.
As for the Justice Department, $20.6 billion was provided. $32 billion was directed towards fighting crimes at home and lastly $10.6 billion was provided for global health security such as the current COVID-19 pandemic and future pandemics in addition.
Key Reasons That Will Increase Revenue
Due to the budget proposal from President Biden, raising the corporate tax from 21% to 28% will increase revenue drastically. As for the top individual tax, raising the percentage up to 39.6% will too increase revenue. Another key revenue raiser is the Billionaire Minimum Tax.
The Billionaire Minimum Tax is also known as implementing a 20% minimum tax on the top 0.1% of earners and households with assets over $100 million. Several tax incentives for oil and gas producers and processors were repealed to increase revenue.
Resolve Your Tax Bills
If you’ve found yourself in a nasty mess with the IRS, take a deep breath. Unpaid back taxes may be the biggest issue that taxpayers face, but the resolution may be very simple. For taxpayers who may have difficulty paying off an excessive amount of tax debt, there’s a relief program that consolidates many major relief programs into a one-size-fits-all assistance program; The IRS Fresh Start Program.
It’s a new and improved relief program that consolidates many major relief programs into a one-size-fits-all assistance program. Any issues regarding back taxes, unfiled years, or any other tax-related problems may be solved through one program; the IRS Fresh Start Program!
See if You Qualify for the Fresh Start Program Today!
Resolve your tax debt before the IRS surprises you with late fees and penalties!
- Answer a few questions
- Qualify and be presented with a resolution – click here
- Enroll in Fresh Start