US Vice President Kamala Harris announced a plan to increase the corporate tax rate from 21% to 28% if she wins against Republican rival Donald Trump in the November election. Her campaign spokesperson, James Singer, stated that this proposal aims to be “a fiscally responsible way to put money back in the pockets of working people and ensure billionaires and big corporations pay their fair share.”
Under Trump’s presidency, the corporate tax rate was reduced from 35% to 21%, accompanied by other tax cuts set to expire next year. Trump has pledged to make these tax cuts permanent.
According to the Committee for a Responsible Federal Budget, Harris’s proposal could reduce the US deficit by $1 trillion over the next decade. However, any changes to the US tax code would require Congressional approval, with both the Senate and House of Representatives up for election on November 5.
Harris, a Democrat, has also committed to upholding President Joe Biden’s promise not to raise taxes on individuals earning $400,000 or less annually. In a recent economic policy speech, Harris outlined plans to cut taxes for most Americans, combat “price gouging” by grocers, and expand affordable housing as part of her “opportunity economy” agenda if elected.
