In response to Biden, the company tax fee must be between 25% and 28%
President Joe Biden comments on his American employment plan near the Calcasieu River Bridge in Lake Charles, Louisiana, United States on May 6, 2021.
Jonathan Ernst | Reuters
WASHINGTON – President Joe Biden said Thursday he would see a corporate tax rate “between 25 and 28” percent, setting a new milestone in ongoing negotiations to finance a major infrastructure bill.
“The way I can pay for this is by making sure the biggest companies don’t pay zero and cutting costs [2017 corporate] Tax cut to 25-28, “Biden said at an event in Louisiana.” That’s a few hundred billion dollars and we can pay for these things. “
The remarks were the first time Biden explicitly acknowledged that his original proposal to raise the corporate tax rate from 21% to 28% shifted in the wake of negotiations on the massive infrastructure bill.
Biden’s signed domestic policy bill, known as the American Employment Plan, would invest $ 2 trillion in rebuilding large sections of U.S. infrastructure, from roads and bridges to expanded broadband.
Biden has pledged to fund the bill without adding to the federal deficit, primarily by raising the corporate tax rate, which was cut under the Trump administration’s 2017 Tax Cuts and Jobs Act.
The 25% rate has already been endorsed by West Virginia Democratic Senator Joe Manchin, who will likely have the greatest control over the fate of the bill, assuming Biden can’t persuade any of his Republican colleagues to support it.
This is a developing story. Please check again for updates.