WASHINGTON, D.C. – Former United States Senator Blanche Lincoln (D-AR) today released the following statement on behalf of the RATE Coalition, whose members and affiliates employ more than 53 million American workers in all 50 states:
“It is the shared responsibility of policymakers to come together on an infrastructure package that Builds Back Better without jeopardizing the jobs generated by America’s current globally competitive corporate tax rate. Any increase in that rate would position the United States even further behind global competitors like China, and consequently threaten to freeze domestic investment, shift American jobs overseas, restart corporate inversions, and reduce worker wages. Moreover, as we recover from a historic economic and public health crisis, now is the worst time to saddle job-creating businesses and the workers they employ with higher taxes.”
“As discussions continue on various ways to fund much-needed infrastructure investments, any shift away from a harmful corporate rate hike is an encouraging development for U.S. businesses and workers and unwelcome news for America’s economic competitors around the world.”
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BACKGROUND:
- Raising the corporate rate puts us further behind global competitors; when combined with state and local taxes, American corporations already pay a rate over 25%, higher than China
- The average corporate tax rate among OECD countries is 23.4% – and 25% in China
- The current average rate among American states is 4.8%. (25.8% combined with federal)
