Tax Raise For The Rich
President of the United States, Barrack Obama, will give his State of the Union speech on Tuesday. The speech is said to discuss tax raise on the wealthy in order to aid those on the middle class spectrum.
Officials say that the increase will result to $320 billion in one decade. The said amount will be used as funding for benefits like tax credits.
The State of the Union speech will be the center of political talks and is expected to reveal the legacy which will be left behind by President Obama. The speech is also expected to shape the coming 2016 election.
The only problem the President’s proposal is the resistance by the Houses of Congress which is both controlled by Republicans. As the economy of the United States grows, it is only right that ordinary families living in the US be able to receive certain benefits.
The tax raise is said to be given much thought and the proposal covers the following:
– Making sure that the richest in America will not be able to pass some of their assets as tax-free
– The earnings of the richest will receive an increase of 4.2% in capital gains tax from the previous 23.8%
– US financial firms, estimated to have total assets of around $50 billion, will get new fees
The proposal will be able to raise fund in order to provide for benefits designed for those citizens who belong in the middle class. Some of these benefits include tripled child tax credits, providing assistance for families whose spouses are both working and giving extra incentives for citizens to be able to save for their retirement.
White House has gained more confidence from the people since the increase in America’s economic growth. Despite the recovery, there is still the issue regarding wages for Americans who are in the middle class. It is the aim that the economic growth will benefit all Americans and provide them with outlet for success.
President Obama is not running for another term in the 2016 election despite the positive outcome on the state of the economy.