- June 12, 2021
- Posted by: Stratford Team
- Category: Business
Sen. Pat Toomey, R-Penn., calls the Secretary’s plan a ‘terrible deal’ on ‘Kudlow’
President Biden and leaders of the G-7 group of nations will endorse a global minimum corporate tax rate of at least 15% on Friday, a policy that could ultimately drive business investment away from the U.S.
That’s according to the Taxpayer Protection Alliance (TPA), a nonprofit advocacy group based in Washington, D.C., which argues that a higher global minimum rate would ultimately be “passed on to workers and consumers through reduced compensation and higher prices.”
WHAT IS A GLOBAL MINIMUM TAX RATE, AND HOW WOULD IT WORK?
“We won the race to the top, having the highest corporate tax rate in the industrialized world prior to the tax reforms of 2017,” TPA vice president of policy Patrick Hedger said. “It contributed to decades of anemic growth.”
Prior to the passage of the 2017 Tax Cuts and Jobs Act, the U.S. corporate tax rate sat at 35%; it’s now at 21%.