President Obama has unveiled his $4 trillion budget proposal for next year, asking Congress to raise taxes for the wealthy and corporations to help fund education and fix crumbling infrastructure. The plan includes tax cuts for some poor and middle-class families. It also seeks to recoup losses from corporations that stash an estimated $2 trillion overseas by taxing such earnings at 14 percent, still less than half of the 35 percent rate for profits made in the United States. The budget takes aim at the high cost of prescription drugs, proposes a new agency to regulate food safety, and seeks $1 billion to curb immigration from Central America. It also calls for a 4.5 percent increase in military spending, including a $534 billion base budget for the Pentagon, plus $51 billion to fund U.S. involvement in Syria, Iraq and Afghanistan. Speaking at the Department of Homeland Security, Obama said across-the-board cuts known as sequestration would hurt the military.

President Obama: “Just last week, top military officials told Congress that if Congress does nothing to stop sequestration, there could be serious consequences for our national security, at a time when our military is stretched on a whole range of issues. That’s why I want to work with Congress to replace mindless austerity with smart investments that strengthen America. And we can do so in a way that is fiscally responsible.”