Biden Pushes Over 50% Tax Rates in Blue States to Pay for Administration Plans

President Joe Biden plans on almost doubling the current capital gains tax rate, from 20% to a marginal rate of 39.6%.

Americans making more than $1 million will be pay 39.6%, and increases to 43.4% when you consider an existing surtax on investment income.

The purpose of the proposal is to help pay for the $2.25 trillion infrastructure initiative called the “American Jobs Plan” according to Bloomberg.

For investors earning more than $1 million in already high-tax states such as New York and California, tax rates on capital gains could be over 50%. Specifically, they could reach 52.22% in New York and 56.7% in California.

After the news broke, stocks fell, with the S&P 500 dropping 0.9% at its closing. Ten-year Treasury yields fell from a short-term high of 1.59% to 1.54%.

In a press briefing on Thursday, White House Press Secretary Jen Psaki was asked about the specifics of the plan. She responded “we’re still finalizing what the pay-fors look like.”

President Biden is expected to release more information on the proposal next week, in addition to other tax increases to boost spending for the “American Jobs Plan.”

“The President’s calculation is that there is a need to modernize our infrastructure, there is a need to invest in child care, there is a need to invest in early childhood education, and making our kids and the workers of the next generation more competitive,” Psaki told reporters.

Fierce opposition

Biden and his economic team believe that raising the capital gains tax will not have a negative impact on long-term investors. This tax alone is slated to raise $370 billion over a period of 10 years, according to the Urban-Brookings Tax Policy Center.

In addition to this tax, the Biden administration also plans to increase estate taxes for those earning more than $400,000.

Biden tax plan has been met fierce opposition from Republicans, who believe that the current taxes for the wealthy are more than plenty.

“It’s going to cut down on investment and cause unemployment,” said Chuck Grassley, top Iowa Republican and former chair of the Senate Finance Committee.

“If it ain’t broke, don’t fix it,” he said.

The consensus of most Democrats is that the taxation of investment should be similar to the taxation of wages.

“There ought to be equal treatment for wages and wealth,” said Ron Wyden, a Democrat and current Senate Finance Committee Chairman.

“On the Finance Committee we will be ready to raise whatever sums the Senate Democratic caucus thinks are necessary,” he said.

British Spy Behind 2016 Trump Dossier Now says Putin ‘Unraveling,’ Under Constant Medical Care

Russian President Vladimir Putin’s grip on power is fading, according to former British spy Christopher Steele. According to Steele, Putin has to take regular breaks from meetings for continuous medical

Overwhelmed IRS Workers Shredded Millions of Tax Documents, Audit Shows

A recent Internal Revenue Service (IRS) audit found that staffers had destroyed 30 million taxpayer documents while they faced a huge backlog. No taxpayers were negatively affected by the destruction,

Baby Formula Crisis — What Caused It? What Happens Next?

With a growing baby formula crisis gripping the United States, President Biden has directed his administration to work tirelessly to ensure that baby formula production is ramped up after the

GOP Slams White House After Exposing Infant Formula Stockpiles at Southern Border

Republicans are increasingly alarmed after discovering that baby formula is being sent to border facilities by the pallet load when American mothers face massive shortages and empty shelves. The Biden

The West Wants to Cut Off Russian Oil and Gas. It Still Needs Moscow’s Nuclear Tech

Russia’s war in Ukraine has not just created a crisis surrounding countries forced to wean themselves from dependence on Russian oil and natural gas. The war has forced nations to

Korean Nuclear Jitters: Kim says Nukes for More than Deterrence Alone

North Korean leader Kim Jong Un has pledged to speed up the development of his country's nuclear arsenal after recently overseeing a massive military parade where powerful intercontinental ballistic missiles

Hillary Clinton

Hillary Approved Trump Russia Smear Before 2016 Vote: Testimony

Former President Donald Trump has now responded to the news that Hillary Clinton was responsible for leaking a story about Trump’s alleged connection to a Russian bank in 2016. Robby

Opinion: Biden Is Not the Man to Unite America, Nor Was He Ever

President Biden seems rather delusional about things in 2022. He often makes up his own words as he tries to answer a simple question or give a speech. Recently, New

Biden Had Just Two Words for North Korea’s Kim

Many people are used to President Joe Biden rambling on and on about issues, so his very short message for North Korea’s Kim Jong Un was a bit of a

White House Pulls Out Stops Over Baby Formula Disaster

President Joe Biden recently invoked the Defense Production Act, a World War II law that lets the government directly manage private industry, to speed up authorized flights to import baby

Biden Pledges Covid Help, Open to North Korea Talks — On One Condition

President Joe Biden recently expressed his openness to meeting North Korean leader Kim Jong Un if the leader was sincere in his intentions. At the same time, South Korea and

The Public May Never Know Who Leaked the Roe v. Wade Draft

The marshal of the Supreme Court, tasked with finding out who leaked the draft opinion possibly overturning Roe v. Wade, is a retired Army colonel who is untested in investigations.

As Monkeypox Spreads, Government Orders Shots for Just 4% of Americans — Ready in 2023

Most of us have been breathing pretty easily and without a mask after two years of panic over the coronavirus, but now there is another virus making its way to

Trump Prevails, Hillary Clinton Loses in Election Spending Cases

Former President Donald Trump gets another win. The Federal Election Commission (FEC) made the decision not to take any action against the former president after those who sit on the

Roe v. Wade: Justice Alito’s Leaked Abortion Ban Draft is Far from Law

For months the United States Supreme Court has been considering whether or not to eliminate the federal constitutional protections for abortion rights. The focus of the deliberations has been a

Trump: Primaries Show We Have ‘Transformed’ the Republican Party

Former President Donald Trump recently hailed primary results and called the America First GOP the “party of the American dream” and the “party of common sense.” While stumping for Pennsylvania

These States Teach Five-Year-Olds That Gender is How You Feel, Not a Fact

Public schools in Oregon and Washington state are already teaching topics related to gender identity to children as young as five. The Washington Office of Superintendent of Public Instruction (OSPI)

Rep. Biggs: Democrats ‘Worship at the Altar of Abortion’

Republican Representative Andy Biggs of Arizona recently spoke out about the ongoing abortion debate, saying Democrats will try to "lionize" the leaker of the Dobbs v. Jackson Women's Health Organization

Rand Paul Tears into DHS Secretary Over ‘Disinformation Board’

Kentucky Republican Senator Rand Paul recently blasted the Department of Homeland Security Secretary Alejandro Mayorkas during a hearing, saying he doesn't want the secretary anywhere near making decisions involving speech.

Biden ‘Child of God’ Blunder Backfires as Catholic President Tries to Justify Abortion

Conservatives were outraged after President Joe Biden defended the right to an abortion by appealing to his natural rights as a "child of God." One pundit claimed the president "just

Melania Trump Hints at a Return to the White House

Melania Trump, the former first lady and wife of former President Donald Trump broke her media silence over the weekend. In an interview with “Fox and Friends” host Pete Hegseth

Justice Thomas Wonders If the Supreme Court Has Been Changed Forever

Supreme Court Justice Clarence Thomas has spoken out about the leaked opinion written by Justice Alito regarding the possible reversal of the landmark 1973 case Roe v. Wade. Thomas believes

As Gas Price Soar, White House Hides Decision to Cancel Alaska Drilling Plan

We have a record high gas price at the pump and a president who canceled one of the most high-profile oil and gas lease opportunities. President Biden and his Interior

Opinion: Hey Joe Biden, Forgive Student Debt For Those Who Serve

As President Joe Biden contemplates offering sweeping student loan forgiveness for thousands of young adults across the country, maybe he should take some time to ask those in the military