Biden Unveils Fiscal 2025 Budget: Focus on Tax Breaks, Healthcare, and Deficit Reduction

Biden Budget Plan: President Joe Biden has unveiled a budget plan for fiscal 2025, emphasizing tax breaks for families, reduced healthcare costs, smaller deficits, and increased taxes on the wealthy and corporations. Although the proposal is unlikely to pass the House and Senate, it serves as an election-year blueprint, outlining Biden's vision for the future if Democrats secure victories in November. If enacted, the Biden budget aims to cut deficits by $3 trillion over a decade. Key provisions include an expanded child tax credit, a $9,600 tax credit for homebuyers, higher corporate taxes, and a 25 per cent minimum tax on billionaires. Biden also advocates for Medicare to negotiate prices on 500 prescription drugs, potentially saving $ 200 billion over 10 years.

President Biden, during his visit to New Hampshire, called on Congress to extend his proposals, such as capping drug costs at $2,000 and $35 for insulin, to all, not just Medicare beneficiaries. He also aims to make certain Affordable Care Act protections permanent.
This budget serves as an opportunity for Biden to shape the election narrative around his policy priorities. It contrasts with the likely Republican nominee, Donald Trump, who emphasizes increased tariffs and expanded oil production. The Biden proposal seeks to address perceived imbalances in the tax code, particularly the 2017 tax cut benefiting the top 1 per cent of earners. While House Republicans have passed their budget resolution, proposing $14 trillion in deficit reduction over 10 years with significant spending cuts, Biden opposes cuts to Medicare. The budget resolution reflects differing visions for economic policy, with Biden prioritizing investments in healthcare, education, and defence.

As Congress continues to work on the current fiscal year's budget, Biden's plan for 2025 sets the stage for debates on economic priorities, tax policies, and government spending in the upcoming election year.