US President Barack Obama is going to reveal his plans for reforming the lives of middle class Americans as well as various trade measures during his State of the Union address scheduled on Tuesday.
According to the sources, the President aims to outline his strategy to help the people belonging to the middle class who were left behind by the US economic recovery via increases in taxes on the most wealthy.
He will also talk about the trade deals aimed at expanding the markets for American goods and services.
The plan to raise the top capital gains as well as the dividends tax rate to 28 percent from the current 23.8 percent is being seen as an important tool by the Democrats for reclaiming victory in the 2016 presidential elections. But all ideas seem dead on arrival with Republicans, who are enjoying the control of both houses of Congress.
Tuesday’s State of the Union address will be the best opportunity for the President to convey his message to millions of Americans who will be watching him on television with high expectations.
Obama, seeking to burnish his legacy with two years left in office, can use the forum to talk to the Americans about the improved economic conditions in six years of his tenure since the crippling financial crisis of 2007-08.
The President has said that he wants to approach the Republicans who are in favor of trade deals with Asia and Europe. He also wants to reach out to some of his fellow Democrats who have raised objections over such trade associations.
In a speech to the US Chamber of Commerce, Republican Senator Orrin Hatch, who also heads the Senate Finance Committee, said, “If President Obama can be more forward-leaning with members of his party, starting with tonight’s State of the Union address, I think we can get this fast-track authority done quickly. That is what I am committed to do.”
The relations between Obama and Republicans witnessed a rocky start this year as the Democrat president has threatened to use his veto power in seven bills and a proposal for tougher sanctions on Iran.