Democratic Senator Joe Manchin said on Monday he rejects Joe Biden’s corporate tax increase to 28% and he may not be the only Democrat to break with the president on the enormous tax increase.
After years of uncompetitive corporate tax rates President Trump was able to reduce the US corporate tax rate to 21%. Democrats want to raise it back up and punish American companies.
Manchin says Democrats do not have the votes to pass Biden’s tax increases.
Sen. Joe Manchin, an influential centrist Democrat, warned Monday that the Biden administration’s massive infrastructure package can’t pass in its current form because he and a handful of other Senate Democrats believe the corporate tax hikes proposed in the bill — designed to offset its costs — are too steep.
“As the bill exists today, it needs to be changed,” he told West Virginia Metro News host Hoppy Kercheval in a radio interview when asked if he supported or opposed President Joe Biden’s $2.25 trillion proposal.
Manchin said he is against raising the current 21% corporate tax rate — which was put in place by the 2017 tax overhaul under the Trump administration — to 28% as called for in the bill and instead supports a middle ground 25% rate, which he called “fair.”
The West Virginia senator said he would use the “leverage” he has in the 50-50 Senate to demand changes before voting to take up the bill, which has been introduced but expected to go through weeks or months of negotiations before being debated on the floor.