Biden’s Carried Interest Tax Would Force All Partnerships to Carry Big Burden
“The Biden administration and its allies excel at leveraging crises to expand government,” observes my CEI colleague Wayne Crews on the Biden “infrastructure” plan. The flipside of that is that the plan would also shrink investment and innovation in the private sector through its massive tax hikes.
Much has been written about the corporate and capital gains tax rates outlined in the plan being the highest at in the world. Ray Keating, chief economist of the Small Business and Entrepreneurship Council, writes that “in reality, taxes on upper-income earners do not exclusively affect those being particularly targeted. Rather, the increased costs and altered incentives, again, have clear negatives in terms of lost economic, income, and employment growth.”