Coons says bipartisan compromise likely on Biden infrastructure plan

Sen. Chris Coons (D-DE) said Wednesday that Congress is more likely to approve a smaller infrastructure plan and to not raise corporate taxes to pay for it, given a small number of Democrats who have come out against the $2.3 trillion proposal by President Joe Biden.

Coons discussed the options with Punchbowl News, including possible areas of compromise like closing corporate tax loopholes or a smaller corporate tax increase than the one proposed by Biden, which would set the rate at 28%.

“In the choice between raising taxes significantly and simply looking at each other and saying ‘we need a robust recovery,’ I think it’s more likely we’ll have a package that is not paid for, and that is less robust but still putting hundreds of billions of dollars into infrastructure,” he continued.

Republicans have complained that a corporate tax increase would drive companies overseas and that most of the huge bill was not direct infrastructure spending, but included Green New Deal-like provisions such as electric cars and alternative energy investments.

Republicans want smaller bill

If a smaller bill is agreed upon, Republicans may be willing to pay for some of it with a gas and mileage tax, Coons suggested. Some of the bill could also be financed, he said.

This year’s deficit is expected to be over 100% of GDP for the first time since World War II, but most of the debt is due to coronavirus stimulus spending to keep the economy going while shutdowns occurred.

Biden has said repeatedly that the bill would probably change as it progressed through Congress, and said he is open to “good faith negotiations.”

But here’s what we won’t be open to. We will not be open to doing nothing. Inaction simply is not an option,” he said.

Tax increases moving forward

Meanwhile, Biden has put forth a plan to completely pay for his original $2.3 trillion proposal with new taxes that the Budget office expects to raise $2.5 trillion over 15 years.

Treasury Secretary Janet Yellen decried Republican opposition to the increases, saying that the U.S. shouldn’t get involved in a “race to the bottom” on corporate tax rates but should compete in other areas.

“America will compete on our ability to produce talented workers, cutting-edge research and state-of-the art research, not on whether we have lower tax rates than Bermuda or Switzerland,” Yellen said.

In recent weeks, Yellen has suggested a global minimum corporate tax that would involve North America and Europe, but Republicans said that companies would then avoid those locations for building factories and headquartering their operations.

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7 Responses

    1. True
      If liberals are so set on changing history by giving a new meaning to many words , pictures, statues etc. at the very least the Coons ( the family name ) should be changed. How about the Cons or the Coins or maybe the Goons

  1. Republicans are completely useless. Opposing nothing, they appear to he happy Biden is President and Trump is gone. Now they can softly whine while giving in to everything. Today Biden demolished the 2nd amendment with absolutley no opposition. Many RINO’s approved appointment of Garland as anti 2nd amendment AG. And now the man who heads ATF is the one who incinerated the citizens at Waco,Tx.

    1. I would like to know what planet and country you are living in because it sure isn’t the United States! You are so far gone I think your brain has been fried by the democrats/liberals/communist/nazis. Get a grip and move back into the real world!!

    2. You got that right ! I am sooo sick of the wishy washy – spineless Republicans… Wish we could get rid of them also…
      Maybe someday.. if time lasts (which is unlikely) people will
      wake up.. I doubt it because the devil has a much bigger hold
      than realized..

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  3. WHAT IS! Janat YELLEN so much for? She is always YELLEN about something. It appears she be YELLEN at the moon, because her grasp of economics is on par with a pre-K child, you knoooooow , AOC. It appears OLD Janet Y and AOC failed economics at the same school. Hmmmm, The Bolshevik Schul of Economics? Perchance?

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