Biden tax hikes would lead to corporate exodus, top Republican predicts
[Washington Examiner] Rep. Kevin Brady, who played a leading role in passing the sweeping Republican 2017 tax cuts, said companies will move overseas if the Biden administration succeeds in implementing its tax proposals.
Brady, the top Republican on the powerful Ways and Means Committee, told the Washington Examiner during an expansive interview that the Democratic tax agenda would have dire repercussions for the country. He said that it would signal a return to the "old days" of the tax code when corporate inversions were grabbing headlines.
The Texas Republican said that "without question," there will be a new wave of corporate inversions if President Joe Biden follows through on hiking the corporate tax rate from 21% to 28% (the 2017 tax cuts lowered the rate from 35%). Biden has also proposed raising the top individual income tax rate to 39.6% and taxing capital gains for households making more than $1 million as ordinary income.
Brady also said there will be more long-term decisions by companies to move their research and development, their intellectual property, their manufacturing, and their headquarters overseas.
Posted by: Besoeker 2021-07-27