The White House highlighted $580 billion in tax increases on the rich over 10 years, which would be obtained primarily by limiting deductions the wealthy can take. But the figure climbs closer to $1 trillion after adding in a 94-cents-per-pack increase in taxes on cigarettes, slower inflation adjustments to income tax brackets, elimination of oil and gas production subsidies, an increase in the estate tax and a new "financial crisis responsibility" fee on banks.
Responding to the budget, Boehner said Republicans were unwilling to go beyond the $660 billion in higher taxes approved as part of the "fiscal cliff" deal. "The president got his tax hikes in January. We don't need to be raising taxes on the American people," Boehner said.
House Budget Committee Chairman Paul Ryan, R-Wis., said Obama's budget "doesn't break new ground. It goes over old ground. It takes more from families to spend more in Washington." Senate Republican Leader Mitch McConnell dismissed Obama's budget as "not a serious plan. For the most part, just another left-wing wish list."
The president's spending and tax plan is two months late. The administration blamed the delay on the lengthy negotiations at the end of December and then fights over the resulting March 1 automatic spending cuts.
The Obama budget proposal will join competing outlines already approved by the Republican-controlled House and the Democratic-run Senate.
Obama's plan is not all about budget cuts. It also includes an additional $50 billion in spending to fund infrastructure investments, including $40 billion in a "Fix It First" effort to provide immediate money to repair highways, bridges, transit systems and airports nationwide.
Obama's budget would also provide $1 billion to launch a network of 15 manufacturing innovation institutes across the country, and it earmarks funding to support high-speed rail projects.