Federal Budget Bill Contains Massive Business Tax Hike

U.S. Senate Majority Leader Chuck Schumer (D-NY) recently announced that he and U.S. Sen. Joe Manchin (D-WV) have reached an agreement on a budget reconciliation package that includes major spending for climate change; large tax hikes on businesses; and more health care subsidies. (Reconciliation allows the U.S. Senate to bypass filibuster rules so that only 51 votes are needed to pass major tax and/or spending bills.)

The plan’s biggest revenue-raiser would be a new 15% minimum tax on businesses that earn more than $1 billion in annual profits, according to this summary from the AP. The bill would also impose government price controls on pharmaceutical manufacturers.

The National Association of Manufacturers has issued this statement, saying lawmakers who support manufacturing should oppose the reconciliation plan. (Other key business groups also oppose the plan.) Use NAM’s “Manufacturers United” platform to urge your federal lawmakers to oppose tax hikes on manufacturers. 7/28/2022