WASHINGTON: President Joe Biden's US$6 trillion budget proposal for next year would run a US$1.8 trillion federal government deficit despite a raft of new tax increases on corporations and high-income people designed to pay for his ambitious spending plans.
The budget incorporates the administration's eight-year, US$2.3 trillion infrastructure proposal and its US$1.8 trillion American Families Plan and adds details on his US$1.5 trillion request for annual operating appropriations for the Pentagon and domestic agencies. President Joe Biden delivers remarks on the economy at the Cuyahoga Community College Metropolitan Campus, on May 27, 2021, in Cleveland.
Such increases would drive federal spending to about 25 per cent of the GDP, while the tax increases would mean revenues approaching 20 per cent of the size of the economy once implemented.