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West Virginians Will Face Higher Taxes Than Communist China if Dem Bill Passes

by JD Rucker
September 27, 2021
Z-Flu

Click here to view original web page at www.atr.org

If Sen. Joe Manchin votes for the Democrats’ reconciliation bill, he will stick West Virginia companies with a higher tax rate than communist China. The Democrats’ reconciliation bill would leave West Virginia with a combined federal-state corporate tax rate of 31.3% vs. communist China’s 25%.

The Democrat bill will also put West Virginia companies at a competitive disadvantage vs. Europe: The European average corporate tax rate is 19% .

“As the country tries to recover from a once-in-a-century pandemic, Manchin must explain why he wants to stick West Virginians with higher taxes than China and Europe,” said Grover Norquist, president of Americans for Tax Reform.

Bath Robes

The Democrats’ $3.5 trillion bill will impose the largest tax increase since 1968. It will raise individual income taxes, small business taxes, corporate taxes, and capital gains taxes. If passed, the combined federal-state capital gains tax rate for West Virginians would be 38.3% vs. China’s 20%.

The burden of the corporate tax rate hike will be borne by workers in the form of lower wages, and by households in the form of higher prices. Higher corporate tax rates will also raise utility bills .

The non-partisan Joint Committee on Taxation recently affirmed in congressional testimony that the corporate tax rate hike will fall on ” labor, laborers. ”

Testifying before the House Ways & Means Committee, JCT Chief of Staff Thomas A. Barthold said :

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“Literature suggests that 25% of the burden of the corporate tax may be borne by labor in terms of diminished wage growth.”

WATCH : Economists across the political spectrum agree that workers bear the brunt of corporate tax increases. And 25% is on the very low end.According to the Stephen Entin of the Tax Foundation, labor (or workers) bear an estimated 70 percent of the corporate income tax: “Over the last few decades, economists have used empirical studies to estimate the degree to which the corporate tax falls on labor and capital, in part by noting an inverse correlation between corporate taxes and wages and employment. These studies appear to show that labor bears between 50 percent and 100 percent of the […]

Click here to view original web page at www.atr.org



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