Budget Office Determines Democrats’ Spending Bill Will Nudge Deficit Higher
The New York Times
The White House and the Congressional Budget Office are at odds over how much revenue the Internal Revenue Service could recoup from tax cheats.
WASHINGTON — The nonpartisan Congressional Budget Office said on Thursday that President Biden’s sprawling climate change and social policy package would increase the federal budget deficit by $160 billion over the next 10 years.
That determination was at odds with Mr. Biden’s pledge to fully pay for nearly $1.85 trillion legislation but was unlikely to stop House Democrats from approving the bill as soon as Thursday evening.
The budget office’s analysis found that the bill’s tax cuts and spending programs were almost — but not entirely — offset by new revenue and spending cuts. The package would be largely paid for with tax increases on high earners and corporations, which were estimated to bring in nearly $1.5 trillion over 10 years. Savings in government spending on prescription drugs were estimated to bring in another $260 billion.
