Legislative text of the proposal has yet to be released, but the framework includes universal pre-school and childcare subsidies, expanded home care for seniors and people with disabilities, and a one-year extension of the child tax credit. Additionally, it would expand Medicare to cover hearing benefits, as well as extend Medicaid coverage and reduce Affordable Care Act premiums. The proposal also includes $555 billion worth of investments in clean energy and climate change initiatives—including an expansion of tax credits for home solar expenditures and other clean energy initiatives, as well as incentives for businesses to use solar, wind, and other eco-friendly technology.
The plan would fund these programs by:
- Establishing a 15% minimum tax on corporations reporting profits of more than $1 billion.
- Establishing a 5% surtax on Americans with annual incomes above $10 million, and an additional 3% surtax on Americans with annual incomes above $25 million.
Additionally, the framework includes a Biden administration agreement with 136 countries to establish a 15% global minimum tax – imposing a penalty rate on foreign corporations from countries that do not have the minimum rate.
BBB passage will likely be lengthy process. AHLA will continue to monitor BBB’s progress and how it will directly impact the hotel industry.
