Friedman and Rauh: Biden's global tax conspiracy

President Biden’s plan to make corporations pay their “fair share” of taxes would reverse recent improvements in the U.S. tax code that made America more internationally competitive

Yet when those big businesses leave the U.S. to head to more friendly tax environs and take jobs with them, it is workers who would end up paying the price. Including the average state-level corporate tax, the statutory tax rate faced by corporations would rise to over 32% and return to the highest among the countries in the Organization for Economic Cooperation and Development (OECD).    The risk of companies taking off is apparently not lost on the Biden administration. The Treasury Department is trying to avoid this inevitable result by negotiating a global minimum tax. The vehicle through which these discussions are ongoing is the OECD itself, an institution that was created to encourage free markets and publish economic data. In essence, the administration is conspiring at the OECD to stifle tax competition across the globe by effectively requiring all countries to impose similarly high tax rates.