Biden Infrastructure Bill’s Corporate Tax Hikes Will Cripple The Economy
The United States holding so relatively high a corporate tax rate will be detrimental to investment and entrepreneurship. Treasury Secretary Janet Yellen told Congress during her confirmation hearing that she could “assure the competitiveness of American corporations even with a somewhat higher corporate tax,” but only with the cooperation with fellow Organisation for Economic Development and Cooperation countries to prevent a global “race to the bottom.”
Unfortunately, it appears that the Biden administration is ignoring the cooperative aspect Yellen thinks is required for this plan to work, instead choosing to go ahead on the comparative tax increase as many of the aforementioned countries are actively decreasing their tax rates in an effort to stimulate their economies after COVID and improve their competitive advantage.
With so many foreign countries enacting tax policies that will make their economies more appealing to investment and entrepreneurship, the U.S. economy is in danger of falling behind. It’s ironic that Biden’s policy is described as “made in America,” as this will likely push new business away from the United States and onto the shores of countries with more habitable economies.
The United States holding so relatively high a corporate tax rate will be detrimental to investment and entrepreneurship. Treasury Secretary Janet Yellen told Congress during her confirmation hearing that she could “assure the competitiveness of American corporations even with a somewhat higher corporate tax,” but only with the cooperation with fellow Organisation for Economic Development and Cooperation countries to prevent a global “race to the bottom.”
Unfortunately, it appears that the Biden administration is ignoring the cooperative aspect Yellen thinks is required for this plan to work, instead choosing to go ahead on the comparative tax increase as many of the aforementioned countries are actively decreasing their tax rates in an effort to stimulate their economies after COVID and improve their competitive advantage.
With so many foreign countries enacting tax policies that will make their economies more appealing to investment and entrepreneurship, the U.S. economy is in danger of falling behind. It’s ironic that Biden’s policy is described as “made in America,” as this will likely push new business away from the United States and onto the shores of countries with more habitable economies.