One has to wonder if the goal of Joe Biden and the Democrats in Congress are trying to destroy the economy.
At a time when there are 17 million unemployed Americans, Biden has given green cards to over 300,000 Venezuelan refugees and he has totally dismantled all protections of US law resulting in a crisis at the border and a possible sharp increase in Black unemployment.
Add to that a bloated $1.9 trillion dollar bailout plan for blue states and trade unions, creating an incredible amount of debt. Biden is expected to ask for trillions more for infrastructure and the green new deal.
Now, the latest. The Biden administration is currently calling for an increase in the corporate tax from 21% to 28%. Remember what happened when the corporate tax was cut from 35% to 21%?
The economy took off and many employers increased the pay and benefits for its employees and most utility companies either froze the cost of power or reduced it.
Raising the tax that much will create job losses and increased prices to consumers.
Look for inflation to raise its ugly head.
After President Trump cut the corporate tax, the unemployment rate dropped to a 50 year low.
Janet Yellin, Biden’s Treasury Secretary said in February that the corporate tax would be raised incrementally in order to pay for Biden’s increased spending on infrastructure, green energy, and increased spending on education.
Unless I miss my guess much of the education spending will be spent on increased wages for teachers and school officials. Biden has allowed the teachers to dictate when schools can reopen.
Brady noted that the Biden administration has refused to provide an estimate about how many jobs will be created with the rescue plan.
“They’re thinking before Memorial Day, packaging tax increases on businesses, on income, perhaps on payroll, on wealth and energy” in their forthcoming infrastructure bill, he said, presuming that Democrats would move quickly without having discussions with Republicans.
The tax cuts of 2017, which was signed into law by President Donald Trump, reduced the corporate income tax rate to 21 percent from 35 percent beginning in 2018. It also reduced the tax rates for pass-through businesses and individuals.