The benefits to a strong, growing economy from a competitive U.S. tax system are in jeopardy. Prior to the pandemic, the current tax code helped lower the unemployment rate to a 50-year low and boosted wages and household incomes. Some in Congress are working to reverse these gains by raising corporate taxes—which will make U.S. companies less competitive globally and undermine investments in employees and communities. American workers—who are estimated to bear from 20 to 70 percent of the corporate tax burden through lower wages and reduced job opportunities—cannot afford a tax increase. 

America’s corporate tax system supports sustainable, long-term economic growth in four key ways:

  1. Keeps tax rates competitive for businesses, which leads to increased investment, higher wages and more jobs.
  2. Maintains a competitive global tax system that levels the playing field for U.S. companies operating globally.
  3. Incentivizes businesses to invest in their operations and research and development, leading to higher productivity and economic growth.
  4. Keeps businesses and jobs in the United States by reducing tax savings from inversions and foreign takeovers.

The current U.S. corporate tax rate aligns with those of our global competitors, enabling U.S. businesses and workers to compete on a level playing level at home and abroad. Further, our competitive tax rate ensures that businesses continue to prioritize the United States as the primary location to create jobs and help provide for the future prosperity of American families.  

As other countries prioritize economic growth, the United States needs to maintain today’s competitive corporate tax environment to ensure America remains an attractive place for businesses to invest. American livelihoods depend on it.

Learn more about how higher taxes on America’s businesses would harm workers, job creation and U.S. economic competitiveness: