President Obama has packed more than 20 new tax increases into his proposed 2016 budget, which Republicans roundly blasted Monday as a tax-and-spend agenda that won't get their support, SIA reports citing the Fox News.
Together, the tax increases total more than $2 trillion over the next decade. The president plans to use much of that to fund new middle-class tax cuts, as well as ambitious spending programs for highway construction, education benefits and more.
The biggest money-maker for the federal government would be a change allowing top earners to take tax deductions at the 28 percent rate, even if their income is taxed at the top 39.6 percent rate. This is projected to bring in $603.2 billion in revenue over the next 10 years.
In addition, top earners would see an increase in capital gains rates -- to 28 percent, up from the current 24.2 percent rate. The change would raise nearly $208 billion.
Some of the biggest tax hikes in the budget also include a 14 percent, one-time tax on previously untaxed foreign income (raising $268.1 billion); a 19 percent minimum tax on foreign income (raising $206 billion); and a fraction-of-a-percent fee on the 100 financial firms with assets of over $50 billion (raising $111.8 billion).
The budget plan, while gearing tax hikes toward the wealthy and tax benefits toward the middle class, wouldn't exclusively hit the top tier. It would also hit smokers of all kinds, who under the president's plan would see the per-pack tax rise from $1.01 to $1.95, bringing in an additional $95 billion in revenue.
In a message accompanying the massive budget books, Obama said his proposals are "practical, not partisan." But even before the books were delivered, Republicans found plenty to criticize.