Democratic presidential candidate Kamala Harris said the corporate tax rate has “got to” be increased, during a roundtable in Davenport, Iowa, on Tuesday.
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“We’ve got to increase the corporate tax rate.”
How high would Harris raise the corporate tax rate? She has repeatedly threatened a full repeal of the GOP-enacted Tax Cuts and Jobs Act. This means a return to a 35% corporate tax rate under a President Kamala Harris.
“Get rid of the whole thing,” said Harris on May 6 of the Tax Cuts and Jobs Act, which reduced the corporate rate from 35 to 21 percent.
“We need to repeal that tax bill,” Harris said again on Tuesday.
State corporate taxes average 6 percent across the U.S., so the Harris tax hike would give the U.S. a combined average corporate rate of 41 percent.
The Harris tax rate increase 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 directly raise the cost of utility bills in all 50 states.