Toomey Says Manchin “Was Dry-Cleaned” In Schumer Deal

Washington- Senator Pat Toomey, a Republican from Pennsylvania, criticized a new climate, health and tax package introduced by Senate Majority Leader Chuck Schumer and Democratic Sen. Joe Manchin of Pennsylvania last week, saying Sunday that Manchin was “dry-cleaned” in the deal.

In an interview with “Face the Nation,” Toomey pushed back against claims by Manchin and other Senate Democrats that his plan will reduce historical inflation and reduce the deficit, saying the bill, called the Inflation Reduction Lawit will not.

“I think they took it to the dry cleaners. He is taking all this bad politics in exchange for which he was promised that there will be some kind of pro-energy infrastructure bill in the future,” Toomey said. “But first of all, I thought we did that on the infrastructure bill. Second, what is the text? But more importantly, why isn’t that in this bill? And the answer is because the Democrats don’t support it. , this is going to do a lot of damage and there will be no corresponding benefit.”

The Schumer and Manchin legislation is the culmination of months of negotiations about President Biden’s extensive domestic policy agenda. Talk of a spending plan came to a halt when Manchin raised concerns on new federal spending amid rising consumer prices, but he and Schumer ultimately made a breakthrough, resulting in the proposal filed Wednesday.

The legislation calls for $369 billion for new climate and energy security policies, allows Medicare to negotiate the price of prescription drugs, extends the Affordable Care Act’s enhanced subsidies through 2025, and imposes a minimum corporate tax of 15 percent. % to the largest corporations in the country. Democrats also said the measure will cut the deficit by $300 billion and spare American families earning less than $400,000 a year, keeping with Biden’s promise not to raise taxes on those taxpayers.

The president has thrown his support behind the package even though it leaves out many of the key policies in his social spending plan, and encouraged Congress last week to send the measure to your desk.

Republicans, however, claim that Democrats are using budget tricks to account for spending on Obamacare’s enhanced subsidies while claiming the package reduces the deficit.

Toomey said extending the subsidies through 2025 has an “obvious political obvious” for Democrats, who said they have “no intention” of ending premium subsidies in a 10-year period. The increased benefits were included in the $1.9 trillion COVID-19 relief bill enacted last year and are set to expire at the end of the year.

“They’re also counting huge amounts of additional tax revenue from giving more taxes, money to the IRS, which the CBO doesn’t agree with,” the Pennsylvania Republican said. “They’re also not taking into account how much our economy is going to slow down because of this big corporate tax increase that’s going to hit mostly manufacturing and domestic investment. These numbers are very, very iffy.”

also refuted Manchin’s characterization of the tax proposals included in the Democrats’ package such as closing tax loopholes that have benefited large corporations that make significant profits.

“Look, what is the source of this tax increase?” he said. “It’s very simple. When we did our tax reform in 2017, what we did was say if a company takes its profits and invests them in its business in the form of capital investment, new equipment, new plants, expanding its capacity, then, we said , you could deduct the cost of that in the year you incur the cost.”

Toomey continued: “The Democrats say we have to put an end to that, despite the huge increase in capital spending that it brought us. And instead, they’re going to say, you can only recognize a tiny fraction of that. They are going to increase the cost of investing in a business.”

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