Senate Passes New Budget: Includes $1 Trillion In New Taxes

After four years without it, the Senate finally passed a budget with all but four democrats voting in favor. The final vote was 50-49. The proposed budget also includes $975 billion in new taxes. The $3.7 trillion budget exceeds current fiscal year revenue by about $1.2 trillion and is over $200 billion more than current spending. In addition, when you consider that the Fed is inserting about $85 billion per month into a slow growth economy, one has to wonder what the fallout may be. What will be the effect of all this stimulus? More importantly, what happens when the music stops and the Fed reduces or removes its monthly contribution? I suspect the consequences could be rather dire. But we’ll have to wait and see.

http://www.forbes.com/sites/mikepatton/2013/03/30/senate-passes-new-budget-includes-1-trillion-in-new-taxes/