Most Americans think corporations should pay for improvements.
Most Americans think corporations should pay for improvements.
For years, many politicians have held tight to the notion that corporations, as engines that make the economy work, should pay little tax.
      The idea, called trickle down theory, goes like this, according to Merriam Webster: " benefits given to big business will in turn pass down to smaller businesses and consumers."
       But here's the problem: How do we pay for improvements -- to bridges, roads and the electrical grid, for starters -- that corporations need to do business? This is a much talked-about subject in Washington, as President Joe Biden asks lawmakers to consider raising corporate taxes to pay for a plan to rebuild the country's aging infrastructure. According to a White House news release, the plan will:      To pay the bill, Biden proposes raising the federal statutory corporate income tax rate from 21 percent to 28 percent. This would reverse, in part, tax cuts approved under President Donald Trump, when the corporate tax rate dropped from 35 percent to 21 percent as part of the Tax Cuts and Jobs Act of 2017.
     It's also a step away from the trickle down theory. To be sure, Biden's plan has drawn opposition from political opponents, and the president has said he is willing to negotiate the percentage of the increase.
     But will this matter to American workers? Does it mean that corporations won't have money to trickle down? According to a study by the nonpartisan Congressional Research Service, when corporate taxes were cut in 2017, much of the money didn't find its way to the pockets of American workers. The money more likely went "for a record-breaking amount of stock buybacks, with $1 trillion announced by the end of 2018."
     Besides, as far as Americans are concerned, someone has to pay the bill. Indeed, "Fifty-four percent of voters said they support making improvements to America’s infrastructure funded by taxes on those making more than $400,000 per year and increases to the corporate tax rate," according to new Morning Consult/Politico polling.

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