Home » Economy » Biden corporate tax hike could shrink US economy, slash US jobs, study shows
Biden corporate tax hike could shrink US economy, slash US jobs, study shows
Kudlow: Biden’s infrastructure plan is ‘big political mistake’
FOX Business’ Larry Kudlow weighs in on the upcoming infrastructure, tax and spending plans under President Biden.
President Biden on Wednesday unveiled details of a sweeping $2.25 trillion infrastructure that would be funded by dramatically raising the taxes paid by U.S. corporations, an increase that could have a detrimental side effect on the U.S. economy, according to one analysis.
The eight-year initiative, dubbed the American Jobs Plan, comes on the heels of Biden's $1.9 trillion American Rescue Plan. The White House said it will pay for the latest package by raising the corporate tax rate to 28% from 21% — rolling back part of former President Donald Trump's 2017 tax cuts — and increasing the global minimum tax on U.S. corporations to 21% from 13%.
WHAT'S IN BIDEN'S $2.2T INFRASTRUCTURE AND TAX PROPOSAL?
But recent findings from the Tax Foundation show that Biden's plan to raise corporate taxes would reduce GDP, the broadest measure of goods and services produced in the country, by 0.8% and eliminate 159,000 jobs. It would also reduce workers' wages by 0.7%, the nonpartisan organization said.