Biden’s China-First Tax Plan—Americans Come Last in President’s Jobs Plan

COMMENTARY Taxes

Biden’s China-First Tax Plan—Americans Come Last in President’s Jobs Plan

May 19th, 2021 2 min read
COMMENTARY BY
Mike Pence

Distinguished Visiting Fellow, The Heritage Foundation

Mike Pence joined The Heritage Foundation as a distinguished visiting fellow after serving four years as vice president of the U.S.
U.S. President Joe Biden delivers remarks in the East Room at the White House in Washington, DC on May 17, 2021. NICHOLAS KAMM / AFP / Getty Images

Key Takeaways

Under the Trump-Pence administration, we proved that low taxes are the key to creating prosperity for Americans of every background and income group.  

President Biden is threatening to bring back the anemic job growth, stagnant wages and rampant offshoring that defined his term as vice president.  

China stands to gain thousands of jobs as employers flee the crushing tax and regulatory burden of Joe Biden’s America.

Americans have never looked forward to Tax Day—but if President Biden and congressional Democrats get their way, the economic struggles of a punitive tax system are sure to make it worse.  

Under the Trump-Pence administration, we proved that low taxes are the key to creating prosperity for Americans of every background and income group.  

In 2017, we passed the historic Tax Cuts and Jobs Act, which delivered more than $3.2 trillion in tax relief to American families and businesses.

Within months, our economy took off like a rocket. America gained more than 7 million new jobs, unemployment plummeted to the lowest rate in 50 years, and more than 10 million people were lifted off of welfare—the largest reduction in poverty in modern history.  

>>> President Biden’s Tax-and-Spend Plan Expands Federal Power, Not Jobs

In addition to delivering significant relief for middle-class taxpayers, we also cut the business tax rate from one of the highest in the developed world to one of the lowest.  

Cutting taxes on American employers was a central part of our efforts to bring jobs and factories back home to the United States—and it worked. After losing 60,000 factories under the previous two administrations, America gained 12,000 new factories, because employers were no longer driven away by an exorbitant tax burden.

Now, President Biden is threatening to bring back the anemic job growth, stagnant wages and rampant offshoring that defined his term as vice president.  

As part of his American Jobs Plan, Biden is proposing a massive tax hike on employers that will once again put American workers at a major disadvantage with their competitors in foreign countries.5 Biden’s tax hike will give the United States a business tax rate that is substantially higher than even Communist China.

The result will be an economic catastrophe. The post-pandemic recovery could come to a screeching halt, devastating Americans longing for a return to normal after a year of economic hardship.  

Job growth will trickle to a standstill. Capital investments will be canceled. Fewer products will be Made in the USA. Manufacturers will pack up and head overseas, leaving a hole in the heart of blue-collar communities. 

The robust wage gains that workers have enjoyed in recent years will vanish into thin air, along with the hopes and dreams of millions of middle-class families. Our jobs, factories and prosperity will steadily drift out to sea in search of foreign shores.    

>>> The Tax Cuts and Jobs Act: 12 Myths Debunked

Worse yet, China stands to become one of the biggest beneficiaries of the Biden tax hikes.  

After four years of America First tax and trade policy, our foreign competitors would gladly welcome the self-imposed competitive disadvantage. China stands to gain thousands of jobs as employers flee the crushing tax and regulatory burden of Joe Biden’s America.  

The idea that a communist nation would be more hospitable to free enterprise than the United States is a cruel irony that our forebears never could have imagined—and yet it is precisely the future that awaits if President Biden and Democrats succeed.  

Congress must spare our nation from this self-inflicted economic wound and soundly reject the Democrats’ so-called American Jobs Plan. Keep taxes low so the tide can keep rising all across America, and truly lift all boats.  

This piece originally appeared in Fox News