Treasury Secretary Janet Yellen is expected to propose a “global minimum corporate tax” when she speaks for the first time this week, according to a report from Axios, in order to prevent companies from moving operations overseas if President Joe Biden hikes corporate taxes.
Last week, Biden announced plans for a multi-trillion-dollar “infrastructure bill” designed to improve America’s physical infrastructure, but would also fund a host of Democratic- and progressive-favored programs aimed at combatting issues like climate change.
In order to pay for the bill, Biden is proposing a corporate tax hike, from the current 21% rate to a 28% rate, partially rolling back a tax cut passed during the first years of President Donald Trump’s tenure, when he lowered the corporate tax rate from an Obama administration-era 35% high.
“Biden’s plan, if adopted, would also make it harder for multinational companies to qualify for federal tax deductions based on tax payments to certain foreign governments,” CNBC added in its report on
