Government Relations & Public Policy
On April 28 President Joe Biden unveiled his widely-anticipated American Families Plan, which would provide for $1.8 trillion in new spending on education, child care and paid family leave. This is the administration’s “soft” infrastructure proposal and follows last month’s American Jobs Plan, which calls for $1.9 trillion toward more traditional infrastructure, such as roads and bridges, but also includes disaster resiliency and high-speed broadband.
To offset the cost of the new spending, Biden has proposed significant tax increases. The Jobs Plan includes raising the corporate tax rate from 21 to 28% and making changes to the taxation of U.S. multinational corporations. The Families Plan, however, includes many tax increases that would affect the retail real estate industry.
Proposed Tax Increase:
The president’s plans are just the start of the legislative process, designed to fulfill many of his campaign promises to help families, improve infrastructure and make the tax code more fair. Speaker Nancy Pelosi is pushing to pass an infrastructure package through the House as early as July 4, but there will be many issues to resolve given the closely divided Congress and differences between the progressive and moderate wings on the Democratic caucus.
ICSC has already been educating members of Congress about the impact of these proposals via virtual meetings with legislators. Please be on the lookout for future emails about how you can take action.