One million jobs would be lost in the first two years if the corporate tax rate increased to 28 percent and other policies went into effect, according to a new study from the National Association of Manufacturers (NAM).
NAM, in a study conducted by Rice University economists, calculated the impact of increasing the corporate tax rate to 28 percent, increasing the top marginal tax rate, repealing the 20 percent pass-through deduction, and eliminating certain expensing provisions.
Biden’s proposed $2.25 trillion infrastructure package would increase the corporate tax rate to 28 percent and establish a minimum global tax. The 2017 GOP tax law lowered the corporate tax rate from 35 percent to 21 percent.
The NAM study found that global domestic product (GDP) would be down by $117 billion by 2023, $190