“We are moving towards a new tax system for the global digital age. The G7 today reached a historic agreement that will allow a greater contribution from large global companies. The goal: a better distribution of wealth to achieve higher levels of social justice.”
Republicans shouldn’t be making deals with Democrats since they are always one step ahead. The latest deal is socialism and works in conjunction with the G7 who agreed to a 15% minimum global tax.
The Democrats can only push through two more ‘budgets’ [socialist welfare traps] via reconciliation twice more. If Republicans give them this one deal, it leaves them with two more that will be worse than this one. But it’s not only that. It means Democrats can get their global tax ideology in place.
THEY LURE IN THE GOP
According to The Washington Post, Biden told Senator Shelley Moore Capito (R-WV), the lead Republican negotiator in infrastructure talks, that he wants at least $1 trillion in new spending for a deal. Biden’s previous plan called for $1.7 trillion in new spending, over the next eight years, which he said would be paid for with corporate taxes within 15 years.
The president also suggested in the Wednesday meeting that he would be willing to exclude an increase in the corporate tax rate, which the 2017 Tax Cuts dropped to 21% but which he has been wanting to increase to 28%, reports The New York Times. The offer would come after Senate Minority Leader Mitch McConnell (R-KY) said last month that the GOP would not be revisiting the tax cuts, referring to them as one of former President Donald Trump’s most significant domestic accomplishments, reports CNBC.
Instead of corporate tax increases, reports The Associated Press, Biden has suggested a 15% minimum corporate global tax. “By floating an alternative — there is no minimum corporate tax now on profits — Biden was trying to give Republicans a way to back infrastructure without violating their own red line of keeping corporate tax rates at their current level,” reports AP.
The Treasury Department already made it clear that is only a starting point and they intend to raise it much higher. It will be one more tax to battle. And we have to ask, will it set the stage for other global taxes to fund the UN dictators’ club? Don’t forget Hillary proposed a different kind of global tax that would destroy our economy.
Biden has in the past said he’s willing to let the U.N. collect and disseminate the funds [after the U.N. takes money off the top].
THE IRS ‘HOUNDING AMERICANS’ CLAUSE REMAINS
The White House would also consider increasing enforcement at the Internal Revenue Service to help bring in more money. They want to go into peoples’ accounts and take money if they feel they haven’t paid enough taxes. Then the individual or corporation will have to fight to get the money back.
Notably, however, the Biden administration could still pursue a tax increase outside the deal, such as in another bill, a source told The Washington Post. White House Press Secretary Jen Psaki suggested as much during a Thursday briefing, saying Biden would still push to raise corporate taxes because he believes “corporations can afford to pay a little bit more.”
This is a Trojan Horse deal. A global tax will kill jobs and increase prices on everything a multinational company sells. We can pray it brings back Mom & Pops, but don’t count on it.
Politico, reports that Capito is considering a counter offer.
McConnell said Thursday that he remains open to a compromise, and spoke with Capito before and after she met with Biden on Wednesday. “We’re still hoping we can come to an agreement on a fully paid for and significant infrastructure package,” the Republican leader told The Wall Street Journal.
In the latest counter-offer, Republican lawmakers have proposed $928 billion in spending, the majority of which would come from previously allocated but unspent money. The Biden administration, however, wants at least $1 trillion, and all of it from new, instead of repurposed, spending.
REDEFINING ‘INFRASTRUCTURE’
Costs aside, the two parties still remain divided on the scope of an infrastructure plan. This bill will still redefine ‘infrastructure‘ as anything the socialists want, such as climate change.
The Biden administration and other Democrats have touted the “jobs” aspect of the proposal, formally called the American Jobs Plan, purportedly as a way of broadening the definition of infrastructure beyond how Americans have seen it in the past.
Senator Elizabeth Warren (D-MA) recently referred to the infrastructure plans as a way of expanding “our idea of what infrastructure means,” while Senator Kirsten Gillibrand (D-NY), a former presidential candidate, has referred to paid family leave and affordable child care as “human infrastructure,” suggesting she believes they should stay on the table.
“I think the American people elected us to solve the problem of COVID, to rebuild the economy, rebuilding the infrastructure, and I think it’s the moment to act. I think we need a bold solution that does both the hard infrastructure — of roads, bridges, high-speed rail, rural internet — but also the softer infrastructure, the human infrastructure of paid family leave, affordable day-care, making sure our kids are back to school so that all parents can get back to work,” said Gillibrand.
“People need government to work for them, and so we have to answer that moment with bold reforms. And I think waiting any longer for Republicans to do the right thing is a misstep. I would go forward,” she added.
GOP FIGHTS FOR THE DEFINITION OF INFRASTRUCTURE
Republican lawmakers, on the other hand, have been firm that any infrastructure spending needs to be limited to what Americans actually consider to be infrastructure. The GOP counter-offer contains about $500 billion for roads, and another $214 billion for public transportation, water infrastructure, and passenger rail. Unlike in the Biden administration’s original offer, there is no funding for “care economy” infrastructure.
“We want to focus on actual infrastructure,” Senator Pat Toomey (R-PA), one of the GOP negotiators, said in a late May presser. “The platforms and services that move people and goods and services through our economy, that’s what people understand to be infrastructure, and we can reach an agreement if we focus on those items.”
Subscribe to the Daily Newsletter
