The US should use new and higher taxes as one tool to help put its debt on a downward path in the years to come, the International Monetary Fund said Friday.
A smaller deficit and lower debt “will require deploying multiple policies,” and the US can’t rule out tax increases in helping to make it happen, the IMF’s staff said after concluding its annual review of the US’s finances.
The recommendations came in the same review in which the IMF urged the US to immediately raise or suspend the debt ceiling, saying that brinksmanship could create “a further, entirely avoidable ...