In the bustling business landscape of Milwaukee, a recent discussion on Fox Business Network’s “The Bottom Line With Dagen & Duffy” show brought to light the contrasting tax policies of political figures. The conversation centered around Donald Trump and JD Vance’s opposition to tax increases, juxtaposed with the high-tax stance of Joe Biden and Kamala Harris.
Understanding the Corporate Tax Burden
Grover Norquist, President of Americans for Tax Reform (ATR), emphasized JD Vance’s comprehension of how corporate taxes impact working households. According to Norquist, Vance recognizes that the burden of corporate taxes often falls on consumers through higher costs of goods and services and on workers through diminished wage growth. This understanding is crucial in the broader debate about tax policies.
Vance has also taken a definitive stand by signing the Taxpayer Protection Pledge, a written commitment to voters to oppose any tax increases. This pledge aligns him with President Trump’s tax cuts and the goal of making them permanent. Trump has recently advocated for reducing the corporate tax rate from 21% to 15%, a move he originally proposed.
Sean Duffy, co-host of the show, expressed his confidence in Vance as a vice-presidential pick, highlighting his lifelong dedication to lowering taxes. Duffy remarked, “A lot of Republicans talk about being opposed to tax increases and want to fight for lower taxes. You feel — a guy who has fought your whole life to lower taxes –you feel really good about JD Vance as the VP pick.”
Norquist responded affirmatively, underscoring Vance’s commitment to never raising taxes and his support for Trump’s tax cuts. He elaborated on Vance’s understanding of the corporate income tax’s real impact, stating, “JD Vance knows that companies don’t pay taxes when you impose the corporate income tax: it is paid by consumers.”
This perspective challenges the common misconception that corporations bear the brunt of corporate taxes. Instead, Norquist argued that consumers, workers, and even retirees with pensions ultimately shoulder this financial burden. He described the corporate income tax as a “declaration of war on working people, not companies.”
As the debate over tax policies continues, the insights shared on “The Bottom Line With Dagen & Duffy” offer a nuanced understanding of the implications for working families and the broader economy. The conversation highlighted the importance of considering who truly pays the price when corporate taxes are increased.
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