US President Barack Obama has unveiled his 3.9 trillion dollar budget for the fiscal year 2015, which begins on October 1st. He has called for expanded tax credits for the working poor, and a reduction in tax breaks for the rich.
"As a country, we have got to make a decision if we are going to protect tax breaks for the wealthiest Americans, or if we are going to make smart investments necessary to create jobs and grow our economy, and expand opportunity for every American. At a time when our deficits are falling at the fastest rate in 60 years, we have got to decide if we are going to keep squeezing the middle class, or if we are going to continue to reduce the deficits responsibly, while taking steps to grow and strengthen the middle class," he said.
Obama’s proposed tax credits covers low-income working Americans from the age of 21 to 67. The budget also calls for over 300 million US dollars in infrastructure improvements funded through changes to business taxes. It would expand early-childhood education, to be paid through higher tobacco taxes.
The budget would lead to a 64 billion dollar budget deficit, 3.1 percent of the nation’s gross domestic product. The blueprint is all but certain to be rejected by the Republican-controlled House of Representatives, who favor a reduced government role in promoting economic opportunity. But it has laid out Obama’s policy priorities ahead of November congressional elections.