Much to everyone’s chagrin, it appears the Inflation Reduction Act of 2022 will be signed into law after all.
Biden was in celebration mode on Thursday after securing the 50th and final Senate Democratic vote he required to wrangle a watered-down version of his signature climate and healthcare spending bill through Congress.
In a statement released by the White House, Biden described Sen. Kyrsten Sinema agreeing to support the Inflation Reduction Act, proposed by Senate Majority Leader Chuck Schumer and Sen. Joe Manchin last week, as “another critical step” toward decreasing the cost of living for America’s families.”
After a week of sending smoke signals, Sinema released a statement saying she was prepared to work with Sen. Mark Warner in particular to enact carried interest tax reforms, “protecting investments in America’s economy and encouraging continued growth” while “closing the most egregious loopholes that some abuse to avoid paying taxes.”
“Subject to the Parliamentarian’s review, I’ll move forward,” Sinema declared.
Sinema’s endorsement delivers a policy achievement roughly 100 days before November’s midterm elections, a cycle predicted to be challenging for Democrats. Schumer has said the final iteration of the reconciliation bill, expected to be passed by a simple Democratic majority of 51 with Vice President Kamala Harris’s tiebreaking vote, would be introduced in the Senate on Saturday.
The nonpartisan Congressional Budget Office assessed earlier this week that the legislation as it stood then would reduce federal budget deficits by $102 billion over 10 years and estimated boosting the IRS budget would lead to tax enforcement that will save $203.7 billion.
The White House argued this will “help ease near-term inflationary pressures” at a time of high inflation. The measure also proposed extending Affordable Care Act healthcare premium subsidies, which the CBO estimated to cost $64 billion over 10 years, and $369 billion on energy and climate investments, in addition to tinkering with the tax code.
Biden also claims the bill will not raise taxes on anyone making less than $400,000 a year — a claim proven false by multiple economists.
‘Virtual President’ Biden says on his “Inflation Reduction Act” in a robot voice: “No one earning less than $400,000 a year will pay a penny more in federal taxes”
— Benny Johnson (@bennyjohnson) August 4, 2022
Biden promised no tax hikes if you make less than $400K per year
The “Inflation Reduction Act” raises taxes for everyone making over $30K per year pic.twitter.com/4D4gwsqjdu
— John Hasson (@SonofHas) July 30, 2022
Spending billions of dollars during a recession? Sounds like another brilliant idea concocted by the Democrats — the very people responsible for the economic mess we’re in today!
Author: Vasily Ivanov