Senate Minority Leader Mitch McConnell is slamming President Biden’s infrastructure plan as a “Trojan horse” that conceals huge tax hikes that could hit both companies and the upper middle class.
Biden is expected to unveil the over $2 trillion package later Wednesday in Pittsburgh that will be paid for over 15 years by a series of tax increases, including hiking the corporate rate to 28 percent from 21 percent.
The “Build Back Better” proposal will be split into two tax-and-spend packages for Congress to weigh, with the first focusing on infrastructure and the second focusing on funding Democrats’ domestic policy platform.
McConnell, speaking to reporters in Erlanger, Ky., said he is “not likely” to support the legislation.
“It’s like a Trojan horse,” the Republican leader said. “It’s called infrastructure, but inside the Trojan horse it’s going to be more borrowed money, and massive tax increases on all the productive parts of our economy.”
McConnell said the president called him on Tuesday to go over some of the plan “which involves not only significantly more borrowing, but raising taxes on the most productive parts of our economy.”
“So, this is not a very bipartisan period we’re in right now,” he said.
He said he was concerned about what the additional spending will do to the nation’s debt.
“I hope we’re not beginning to engage in the habit of anytime we want to do something we call it a national emergency and run up the national debt,” McConnell said.
“Not to mention, plans that may be in the works in the future, including one the President is going to announce apparently today in Pittsburgh.”
Biden is expected to lay out how other tax initiatives to offset the costs of the “Build Back Better” plan.
Along with the increase in the corporate rate, which would repeal former President Donald Trump’s lowering the rate to 21 percent from 35 percent, Biden will push to tax companies’ overseas profits.
He will also propose a 15 percent minimum tax on corporate profits reported to investors so that deductions won’t allow lower payments.
Biden is also expected to announce an increase in taxes for households earning $400,000.
The funds will be used for a wide array of infrastructure projects, including roads, bridges, airports and railways, as well as expanding broadband, prioritizing electric vehicles and fighting climate change.
With Post wires