Yellen: Tax hikes ‘will progress slowly’

Treasury Secretary Janet Yellen told CNBC’s “Closing Bell” Thursday that President Joe Biden would “likely roll out” his proposed tax increases “slowly over time.”

Yellen said the tax hikes would likely be part of a larger set of laws in 2021, which “would involve spending and investing over several years” in areas such as education and infrastructure, according to the network. financial.

“And probably tax increases to pay for at least part of it, which would probably gradually gradually increase over time,” she added.

Biden campaigned to raise the corporate tax rate to 28%, which would still leave it below the 35% rate it was before the 2017 Republican tax bill lowered the corporate tax rate. companies at 21%.

Yellen noted in January that Biden “had said that ultimately, as part of a larger package that would include significant spending and investment proposals – not now when the pandemic is really depressing the economy – that he would like to repeal parts of the 2017 tax cuts that benefited wealthier Americans and big business.

The secretary also said on Thursday that the Biden administration’s proposed coronavirus relief program will help bring back jobs lost during the pandemic.

“We think it’s very important to have a big package [that] responds to the pain this has caused – 15 million Americans behind on their rent, 24 million adults and 12 million kids who don’t have enough to eat, small businesses fail, ”Yellen said.

“I think the cost of doing too little is much higher than the cost of doing something big. We believe the benefits will far outweigh the costs in the long run, ”she added.