Former Vice President Joe Biden recently vowed to raise the corporate tax rate from 21% to 28%.
During a fundraising conference call, Biden said “I’m going to get rid of the bulk of Trump’s $2 trillion tax cut and a lot of you may not like that but I’m going to close loopholes like capital gains and stepped-up basis.”
Fox Business reported that the Trump administration permanently slashed the corporate tax rate from 35% to 21% with the passage of the 2017 Tax Cuts and Jobs Act.
The former Vice President also floated the possibility of capping deductions — Trump substantially increased the size of the standard tax deduction in 2017 — and sanctioning companies for tax avoidance.
Biden’s remarks came after he was questioned by Vincent Mai, the founder and chairman of Cranemere, about how he would balance short-term needs in addressing the worst economic downturn since the Great Depression with long-term investments the nation needs to make — and how he would pay for it.
The recovery from the pandemic and subsequent shutdown could be used as an opportunity to build a “stronger, more inclusive middle class,” he said, in part by investing “record sums of money” in clean energy innovation and infrastructure.
But Biden lambasted Trump’s “irresponsible, sugar-high tax cuts,” accusing the president of making it “much harder to foot the bill” of the nation’s recovery.
Meanwhile, last month CNBC took a look at how Biden’s tax plan could raise middle class taxes.