Obama: Tax code full of 'giveaways superrich don't need'

WASHINGTON (AP) — President Barack Obama says he wants to raise taxes on higher-income Americans to pay for lower taxes for the middle class and for an education initiative that is a centerpiece of his 2015 agenda.

In his State of the Union Address Tuesday, Obama says the tax code is "riddled it with giveaways the superrich don't need."

Obama wants to raise the top capital gains rate from 23.8 percent to 28 percent on couples making more than $500,000, eliminate a tax break on inheritances and impose a fee on large financial firms.

The proposal would generate $320 billion in revenue over 10 years to pay for new tax credits and other measures for the middle class. And it would cover the cost of making community college free.