Under Democrats’ tax scheme, it’s better to be a foreign company than an American one.
President Biden’s tax hikes threaten to push Americans’ jobs overseas, and would negate any possible long-term economic benefit of infrastructure spending. They also reverse Americans’ historic gains in jobs, wages, and growth, achieved thanks to Republican tax reform. Rep. Kevin Brady (R-TX) joined CNBC’s “Squawk Box” on Tuesday to explain how increasing taxes puts the burden on Americans at exactly the wrong time.
Key Takeaways:
Americans had greater job opportunities and higher wages with Republican tax reform that put blue-collar workers first.
- Tax reform led to the largest jump in household income in almost half a century–larger in one year than all eight years of the Obama-Biden administration.
- Tax reform achieved the lowest poverty rate in a half century as well.
- Tax reform shrunk income inequality for the first time in years.
- We can lock in those gains by making it permanent. President Biden wants to reverse those gains.
Instead of helping Americans and protecting jobs, Biden is proposing a $2 trillion tax increase that would negate any long-term benefit of infrastructure:
- No president has ever raised taxes to rebuild an economy after such a crisis: At a time when people need to come back to work, President Biden is going to send that work elsewhere.
- President Biden will raise our taxes higher than China’s and on par with Syria: This is a bad economic neighborhood to be in.
- Jobs will move abroad: Similar to the last time President Biden was in the White House, we are likely to see a second wave of companies moving overseas–something Republican tax reform finally stopped.
President Biden’s tax hikes result in fewer jobs and less investment in the U.S. and push jobs and investment to OTHER countries.
- Biden’s tax proposals make it better to be a foreign company operating in the U.S. than an American company doing the same thing. By essentially double-taxing American companies, they are punished for doing research in advanced manufacturing here at home.
- Other countries aren’t just standing around: Since we lowered our tax rate and became competitive, 10 countries lowered theirs to attract investment overseas — President Biden’s tax hike makes it even more attractive for companies to move abroad and take Americans’ jobs with them.