HORRY COUNTY S.C. (WBTW) – While President Biden touted his Build Back Better plan as bi-partisan on Thursday, both of South Carolina’s senators disagree with much of the $1.7 trillion spending plan.
President Biden promises those making less than $400,000 a year will not notice an increase in their taxes and several tax credits (Earned Income Tax Credit, Premium Tax Credit and Child Tax Credit) would be extended.
The bill would also allow for two years of free pre-school for all families. To combat the shrinking number of women in the workforce due to childcare issues during the pandemic, the plan would cap childcare costs at 7% of annual income for a family of four earning less than $300,000.
Climate initiatives account for the largest sum of proposed spending at $555 billion to lower the cost of electric vehicles made in America using American materials and cut the cost of solar roofing by 30%.
As far as health care initiatives, the White House said the BBB would reduce premiums for more than 9 million people who buy insurance through the Affordable Care Act marketplace and will expand Medicare coverage to hearing benefits.
For college students, Biden wants to increase the maximum Federal Pell Grant by $550. For younger students, the BBB would expand free school meal programs and provide $65 per child, per month, to qualifying families to purchase food during the summer.
The plan also plans for a $100 billion investment into immigration reform including expanding legal representation.
Biden also mentioned in his media briefing the importance of revamping the IRS by hiring enforcement agents who are trained to pursue wealthy evaders, modernizing outdated IRS technology and investing in taxpayer services.
Biden said the plan would not add to the national debt and would ensure people “pay their fair share.”
The BBB imposes a 15% minimum tax on corporate profits that companies who report $1 billion in profits to shareholders and a 1% surcharge on corporate stock buybacks. A new surtax would also apply a 5% rate to an income above $10 million and an additional 3% surtax on income above $25 million.
As far as foreign economic dealings, the BBB would impose a 15% country-by-country minimum tax on foreign profits of U.S. corporations.
U.S. Sen. Lindsey Graham released the following statements to News13 about the Biden Administration’s spending plan.
This so-called ‘framework’ negotiated by Democrats behind closed doors will add to our inflation problems and be an impediment to growth. There is nothing moderate about this proposal. While we do not yet know all the details, what we already know is troubling. Due to the tax increases and provisions, American companies will be less competitive in the world market. We will see capital flow out of the United States because the costs of doing business will dramatically increase over time. Expect a spike in energy prices as this Democratic package puts American energy independence at risk. Finally, what was initially rolled out as a massive $3.5 trillion government expansion inflation bomb – was shrunk to a slightly smaller, but no less lethal inflation grenade. Over the next year, I hope the American people will remember that when workers needed a break from inflation, the Democrats created more. And at a time the economy is struggling to recover, the Democrat spending package will act as a wet blanket on a sluggish recovery. Democrats own it all and the public will soon have the opportunity to make their voices heard and render a verdict on this reckless tax and spending spree.
Sen. Tim Scott took to Twitter this week to criticize the spending plan writing, “When you look at Biden’s radical tax and spending proposal, the content is even worse than the cost. It’s all about higher taxes, bigger government, and more control over your everyday life.”
Just yesterday, Scott referred to the BBB as “a one-way ticket to socialism,” in a separate tweet.