Kamala Harris and Joe Biden have both called for increases in the corporate tax rate during various campaign stops and interviews in July.
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“I would raise the corporate tax rate from 20 to 28 percent,” Biden said during a CNN interview.
“We’ve got to increase the corporate tax rate,” Harris said during a roundtable in Davenport, Iowa.
“I would raise the corporate tax, I agreed we should have lowered it from 36 to 28 percent, but it got lowered to 20 percent,” Biden said in Sioux City, Iowa.
The Tax Cuts and Jobs Act permanently cut the corporate rate from 35 percent to 21 percent. Biden is incorrect when he says it was lowered to 20 percent.
State corporate taxes average 6 percent across the U.S., so this Biden and Harris tax hike would give the U.S. a combined average corporate rate of 34 percent.
The Biden and Harris percent combined federal-state corporate rate would give the U.S. a much higher rate than the United Kingdom (19 percent), China (25 percent), Canada (26.8 percent), and Ireland (12.5 percent). It would impose a tax rate higher than the current combined corporate rate across the 36 member Organisation for Economic Development and Cooperation (OECD), which is currently 23.7 percent.
An increase in the corporate tax rate would also directly raise the cost of utility bills in all 50 states.
Biden and Harris have also repeatedly threatened a full repeal of the Tax Cuts and Jobs Act.
“First thing I’d do is repeal those Trump tax cuts,” said Biden during a campaign stop in Columbia, South Carolina on May 4.
“On day one, it is my full intention to repeal that tax bill that passed, representing the top one percent and the biggest corporations in America,” Harris said during a roundtable in Davenport, Iowa on July 16.
Even left-leaning and establishment media outlets confirm the good news arising from the Tax Cuts and Jobs Act:
The New York Times also flatly stated: “Most people got a tax cut.”
CNN’s Jake Tapper did his own fact check and concluded: “The facts are, most Americans got a tax cut.”
FactCheck.org stated: “Most people got some kind of tax cut in 2018 as a result of the law.”
The NYT also stated: “To a large degree, the gap between perception and reality on the tax cuts appears to flow from a sustained — and misleading — effort by liberal opponents of the law to brand it as a broad middle-class tax increase.”
Biden and Harris have been threatening to undo the Tax Cuts and Jobs Act throughout their entire campaign. If you want to stay up-to-date on their threats to raise taxes, follow atr.org/HighTaxDems.