Kamala Harris proposes raising corporate tax rate to 28%
US VICE-PRESIDENT Kamala Harris is proposing to increase the corporate tax rate to 28 per cent from 21 per cent if she wins a November election against Republican rival Donald Trump, her campaign said on Monday (Aug 19).
Harris campaign spokesperson James Singer said the move would be part of “a fiscally responsible way to put money back in the pockets of working people and ensure billionaires and big corporations pay their fair share”.
When Trump was president, he slashed the corporate tax rate to 21 per cent from 35 per cent and implemented other tax breaks that are set to expire next year. Trump has vowed to make the cuts permanent.
The Committee for a Responsible Federal Budget, a nonpartisan advocacy group, said on Monday that Harris’ proposal to raise the corporate income tax rate to 28 per cent would reduce the US deficit by US$1 trillion over a decade.
Changes to the US tax code require approval by Congress. Democrats and Republicans are in a tight battle for control of the Senate and the House of Representatives, both up for grabs in the Nov 5 election.
Harris, a Democrat, has pledged to maintain President Joe Biden’s promise not to raise taxes on people who make US$400,000 or less a year.
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In an economic policy speech last week, Harris outlined proposals to cut taxes for most Americans, ban “price gouging” by grocers, and build more affordable housing as part of the “opportunity economy” she plans to pursue if she wins the White House.
Surprise appearance
Meanwhile, the Democratic Party’s elevation of Harris to lead the fight for the White House against Republican Donald Trump was cemented by Biden with a convention speech on Monday that praised his vice-president as the best hope for preserving American democracy.
Biden’s address in Chicago kicked off a four-day event fuelled by enthusiasm for Harris and relief that the president abandoned his own re-election bid and endorsed her to replace him.
Harris is riding a historic whirlwind into the convention: her campaign has broken fundraising records, packed arenas with supporters, and turned opinion polls in some battleground states in Democrats’ favour.
Earlier in the evening, Harris, 59, made a surprise appearance, drawing cheers from the crowd as she vowed to defeat Trump.
“Let us fight for the ideals we hold dear and let us always remember, when we fight we win!” Harris said to the roar of the crowd. She will formally accept the nomination on Thursday.
Democrats also cheered their failed 2016 presidential candidate, Hillary Clinton, whose loss to Trump in 2016 dashed hopes of installing the first woman in the White House. Clinton, who became the first woman to secure a major US party’s presidential nomination, drew a standing ovation as she took the stage on Monday.
“The story of my life and the history of our country is that progress is possible, but not guaranteed,” said Clinton, who also lost her bid for the 2008 nomination to Obama.
She commended Biden as restoring decency, dignity and competency to the White House.
“And now, we are writing a new chapter in America’s story,” Clinton said. “Kamala has the character, experience and vision to lead us forward.”
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