A Business Tax Fight Erupts Over the ‘Haves’ and ‘Have-Mores’
- 6 years ago
A Business Tax Fight Erupts Over the ‘Haves’ and ‘Have-Mores’
Rates would vary for pass-throughs, depending on how much income they earned, but the top rate in the Senate bill is 31.8 percent.
So while the corporate rate by itself may be lower than the top pass-through rate, the total tax burden on corporations is higher.
Big corporations, they argue, are being given preferential treatment compared with smaller businesses
that are organized differently and known as pass-throughs.
In the Republican rewrite of the tax code, both corporations and pass-throughs would see a huge cut in taxes.
(Big earners pay an additional 3.8 percent on their dividend income, and they would owe even more.)
Pass-throughs have a lower total tax burden than corporations do.
Rates would vary for pass-throughs, depending on how much income they earned, but the top rate in the Senate bill is 31.8 percent.
So while the corporate rate by itself may be lower than the top pass-through rate, the total tax burden on corporations is higher.
Big corporations, they argue, are being given preferential treatment compared with smaller businesses
that are organized differently and known as pass-throughs.
In the Republican rewrite of the tax code, both corporations and pass-throughs would see a huge cut in taxes.
(Big earners pay an additional 3.8 percent on their dividend income, and they would owe even more.)
Pass-throughs have a lower total tax burden than corporations do.