US businesses team up to oppose Biden’s tax rise proposals
Business groups in the US have formed a coalition to oppose tax increase proposals by the Biden administration.
The US government has proposed a global minimum corporation tax rate, as well as increasing tax payments in the US in order to pay for infrastructure projects.
The tax proposals “could not come at a worse time”, one organiser of the coalition told the BBC. Made up of 28 industry groups, the alliance named themselves: “America’s Job Creators for a Strong Recovery”.
The coalition has been founded as President Biden looks to pass an ambitious $2.3tn (£1.7tn) infrastructure package, to direct billions of dollars to initiatives like charging stations for electric vehicles and eliminating lead water pipes.
The news follows reports in April that President Biden was looking to increase the rate of capital gains tax to 39.6 per cent for those Americans earning $1m a year or more, up from the current rate of 20 per cent, with some wealthier individuals seeing their rates go up to 43.4 per cent.
The White House says the investments are key to the continued growth of the US economy.
The National Association of Wholesaler-Distributors lead the coalition. Other members include the American Hotel and Lodging Association, American Rental Association, Auto Care Association, National Grocers Association and the Wine and Spirits Wholesalers of America.