White House, business groups tangle over Biden tax increases
WASHINGTON (AP) — President Joe Biden has a simple message for fellow Democrats about his plan to raise taxes to remake large swaths of the American economy: look beyond the bottom line.
Biden is trying to persuade Democrats to embrace a more emotional argument, namely that the plan is fair, that it increases taxes on those who can afford to pay more and spends money on programs targeting children and the middle class.
The president has proposed more than $3 trillion worth of revenue increases, primarily through higher taxes for corporations and the country's richest households as well as greater IRS enforcement that would target the wealthy. But key lawmakers voiced doubts this past week about the size and possible impacts on the economy as congressional committees considered the measures and a wide array of business groups sifted through the details to highlight what they oppose.
Interviews with three administration officials suggest the White House is comfortable with settling for a lower price tag as part of the negotiating process, so long as the end result produces a tax system that voters judge as fair. The officials, who were not authorized to publicly discuss ongoing negotiations and spoke on condition of anonymity, said Democrats are united on this front.
If the playbook of appealing to voters sounds familiar, it was the same strategy used by Biden to cement a bipartisan infrastructure deal earlier this year.
“This is a commonsense thing that people agree with,” said Kate Berner, White House deputy communications director. “They don’t understand why companies can park profits overseas and pay no money in taxes. They don’t understand why a hedge fund manager pays a lower tax rate than a pipefitter. It's something that people think of as fundamentally...
