DEMOCRATS IDEAS ON INFRASTRUCTURE BILL
May 2, 2021 - Douglas Myser
Democrats ideas on infrastructure bill. With past Administrations and Congress's passing the buck on a needed infrastructure bill, the current Administration and Congress seem intent on trying once again to get the bill passed. The United States is now ranked 27th in Infrastructure, among the industrialized world, and its hurting our productivity. The White House has proposed raising the corporate tax rate from 21 percent to 28 percent and increasing taxes on U.S. companies foreign earnings. But some Democratic lawmakers are pushing back on aspects of the tax proposals, while others have suggested ideas that diverge from the administration's plans. Reaching consensus on taxes will be among the top challenges for Democrats as they work to enact an infrastructure and jobs package in the coming months. Democrats will need to craft legislation that can get near universal support in the party, since Republicans have signaled that they will oppose any measures that resemble the proposal Biden unveiled last week. Democrats ideas on infrastructure bill.
White House press secretary Jan Psaki said during a press briefing that Biden called for increasing the corporate tax rate to 28 percent because he "felt it was responsible to propose a way to pay for the proposal." But she also said the administration expects there will be discussions with lawmakers about how to pay for it." Biden is hoping to build on his first major legislative victory--a $1.9 trillion coronavirus relief package signed into law last month--with roughly $2.25 trillion proposal focused on improving infrastructure and addressing climate change. The White House has suggested paying for the infrastructure legislation over 15 years by raising corporate tax rate and making other changes to the tax code to increase the amount paid by multinational corporations. Administration officials have been discussing their plan with lawmakers, with Treasury Secretary Janet Yellen holding a briefing with House Democrats.
But even among Democrats, there is no consensus about how the infrastructure package will take shape. No legislative text has been released, and it's likely to take at least several months for any legislation to be enacted.