Senator Joe Manchin (D-W.Va.) explained why he supported a new spending bill, promising that it would not increase taxes or worsen inflation while admitting that he was wrong regarding a previous spending bill. Bret Baier, a Fox News Sunday host, pointed out that Manchin was on the same program last year and stated that the American Rescue Plan, a previous Democratic spending bill that failed to inflate, had been mentioned. Manchin admitted that he was wrong about this on Sunday.
“Why should Americans believe what you are saying now that this bill will not increase inflation?” Baier asked.
Manchin stated, “I’ll make certain I don’t repeat that mistake again.” “Bottom line: I’ll make certain I don’t make that same mistake again.”
Manchin also asserted emphatically that this bill would not increase taxes, despite groups such as Americans for Tax Reform claiming otherwise.
Manchin stated that it doesn’t raise taxes and “all it does” is to close loopholes.
Manchin stated that he was skeptical that he would ever reach a deal to avert a shutdown with Senate Majority Leader Chuck Schumer (D-N.Y.). He also said that when he did, he made sure that there were no tax increases.
The Inflation Reduction Act of 2022 is a new bill that has been significantly reduced from the Build Back better Act, which was defeated by Democrats. The bill would have cost approximately $3 trillion. However, the current bill will cost $433 billion.
New legislation includes a 15% corporate minimum income tax for businesses with more than $1 million in assets. It is expected to raise $313Billion. The IRS will be stepping up tax enforcement to raise $124Billion. Finally, it will close the loophole that allows carried interest to rise to $14 billion. Senator Robertson insisted that this was not the same thing as raising taxes.
Manchin also addressed Sunday a subsidy that will be available to people earning up to $300,000. A subsidy is for those who buy an electric vehicle. This provision was criticized as forcing the public to spend money on expensive cars for the wealthy. Manchin had in the past criticized the idea, pointing out that the vehicles were already in high supply so incentives didn’t make sense.
Fed raises interest rates in an effort to combat inflation, as Democrats push for more spending
Manchin claims that he holds the same beliefs today, but says the current bill does not only address buying electric, but also supports American production. To be eligible for the subsidy, the car’s battery must be made in the USA and not China.
We shouldn’t look for China to ensure that they have complete stranglehold over us. That’s why we’re trying not to. He said that we are going to incentivize it to end this situation as fast as possible.
