President Joe Biden delivers the State of the Union address to a joint session of Congress at the U.S. Capitol, Tuesday, Feb. 7, 2023, in Washington. (AP Photo/Patrick Semansky)
President Joe Biden is proposing a plan to raise the Medicare tax on high-income Americans and push for additional drug price negotiations to fund the program through 2050.
The plan would raise the tax from 3.8 percent to 5 for those earning above $400,000 per year. The proposal is a bid to get Republicans on board with a 2024 budget bill.
"Millions of Americans have been working their whole lives, paying into Medicare with every working day, and want to know that they can count on Medicare to be there for them when they turn 65," the White House said in a statement. "The President’s Budget extends the life of the Medicare Trust Fund by at least 25 years. It achieves these gains with no benefit cuts—indeed, while lowering costs for Medicare beneficiaries.
The proposal also calls for closing loopholes in existing Medicare taxes and leveraging the Inflation Reduction Act (IRA) authority to negotiate prices for high-cost drugs.
The president is set to release his full budget plan on Thursday. Medicare and Social Security account one-third of federal spending, according to the Congressional Budget Office. Concerns about their future solvency are a perennial concern in Congress.
The World Economic Forum on Wednesday released its annual Global Risks Report, which found that global leaders are more concerned about the cost of living than climate change.
A bill that would try to abolish the Internal Revenue Service (IRS) and eliminate federal income tax was reintroduced on Tuesday by Georgia Republican Rep. Buddy Carter.
The Justice Department is reviewing a batch of potentially classified documents found in the Washington office space of President Joe Biden’s former institute.
The House passed the chamber's rules package with all but one Republican vote while all GOP members voted for its first bill, which would strip funding from the IRS.
At the top of Kevin McCarthy’s to-do list as he begins his role as House Speaker is adopting a new rules package for the chamber when it convenes Monday evening.
Brazilian authorities were vowing to protect democracy and preparing to mete out punishment Monday after thousands of ex-President Jair Bolsonaro’s supporters stormed Congress, the Supreme Court and presidential palace then trashed the nation’s highest seats of power.
