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State of the Union: Obama to push tax hikes for rich State of the Union: Obama to fight 'wealth inequality'
(about 1 hour later)
US President Barack Obama will propose tax hikes on the rich to fund benefits to working families, in his annual agenda-setting speech to Congress. US President Barack Obama will announce measures to help working families gain from a growing economy, in his annual agenda-setting speech to Congress.
Mr Obama's strategy, which he describes as "middle-class economics", includes raising taxes for the rich.
Much of what will be in his televised State of the Union address at 2100 EST (0200 GMT) has already been announced.Much of what will be in his televised State of the Union address at 2100 EST (0200 GMT) has already been announced.
The speech will include proposals on tax, community college, internet access, cybersecurity and sick leave.
But the plans are unlikely to make it past a Republican-controlled Congress.But the plans are unlikely to make it past a Republican-controlled Congress.
In a preview video released by the White House, the president says the US has now emerged from recession and it's time that ordinary Americans shared in the dividends of the growing economy. The speech will include proposals on tax, community college, internet access, cyber-security and sick leave.
"This State of the Union gives me an opportunity to present to the American people - now that we have fought through the crisis - how we make sure that everyone in this country shares in the growing economy." In excerpts released ahead of time, Mr Obama said emerging from recession provided an opportunity for "rising incomes and chances" for everyone.
His $320bn tax-raising plan, over 10 years, includes: The president will liken the decisions facing the country to when welfare programmes like social security were set up, and the internet first conceived.
"That's what middle-class economics is - the idea that this country does best when everyone gets their fair shot, everyone does their fair share, and everyone plays by the same set of rules."
His $320bn (£211bn) tax-raising plan, over 10 years, includes:
His tax and spending package is unlikely to get Republican approval, however, with some senior members of the party dismissing it as "class warfare".His tax and spending package is unlikely to get Republican approval, however, with some senior members of the party dismissing it as "class warfare".
Their response to the president's 6,000-word speech will come from rising star Joni Ernst, the Iowa senator who shot to fame by burnishing her hog-castrating credentials in a campaign television advert.Their response to the president's 6,000-word speech will come from rising star Joni Ernst, the Iowa senator who shot to fame by burnishing her hog-castrating credentials in a campaign television advert.
Other Obama plans in his speechOther Obama plans in his speech
State of the Union spoilersState of the Union spoilers
"The American people aren't demanding talking-point proposals designed to excite the base but not designed to pass," said leading Senate Republican Mitch McConnell. Ms Ernst is expected to argue Americans have been hurting economically but have not seen solutions from Mr Obama.
"They said they're ready to see more constructive co-operation, especially on bipartisan jobs initiatives." Instead, it has been "the same stale mindset that led to failed policies like Obamacare".
The senator will call on Mr Obama to work with Republicans on issues they might have common ground - including a trade deal and tax code reform.
"The president has already expressed some support for these kinds of ideas," Ms Ernst is expected to say. "We're calling on him now to co-operate to pass them."
BBC North America editor Jon Sopel says the president's push on policies that are unlikely to pass Congress means there's a potential trap for Republicans.BBC North America editor Jon Sopel says the president's push on policies that are unlikely to pass Congress means there's a potential trap for Republicans.
"Democrats would like nothing more than the Republicans to be perceived as the 'party of no' - rejecting plans to help the 99% of Americans.""Democrats would like nothing more than the Republicans to be perceived as the 'party of no' - rejecting plans to help the 99% of Americans."
Many eyes on Tuesday night will be on the seats around First Lady Michelle Obama, the box which overlooks the floor of the House of Representatives where her husband will deliver his sixth State of the Union speech.Many eyes on Tuesday night will be on the seats around First Lady Michelle Obama, the box which overlooks the floor of the House of Representatives where her husband will deliver his sixth State of the Union speech.
Alongside her will be freed Cuban prisoner Alan Gross, astronaut Scott Kelly and several people who wrote letters to the White House in the last year.Alongside her will be freed Cuban prisoner Alan Gross, astronaut Scott Kelly and several people who wrote letters to the White House in the last year.