That’s good news for us non-billionaires.
This time, out of the chute and needing funds for a host of long-deferred infrastructure projects, the Biden administration has put a laser focus on corporate tax revenues.
But if we focus on the composition of the Big Three taxes, we see a more dramatic story. Individual income taxes have gone up, from 7.4 to 8.1% of GDP. Payroll taxes, the most regressive of the lot, have skyrocketed, from 3.3 to 5.6%. Corporations? These big time winners from economic growth have seen their taxes as a percent of GDP plummet, from 3.6 to 1.1%.
It attempts to shut down “inversions” whereby American companies become children of corporate “parents” located offshore. It attacks accounting tricks by imposing a minimum tax on a corporation’s book value. These are highly technical matters that would have a beneficial effect: it would make companies like Bezos’ Amazon pay something.