WASHINGTON, DC – NOVEMBER 03: Ranking member of House Ways and Means Committee Rep. Kevin Brady (R-Texas) spoke during an event at the Newseum November 3, 2017 in Washington, D.C. (Photo by Alex Wong/Getty Images)
UPDATED 12:52 PM PT – Tuesday, April 6, 2021
The ranking member of the House Ways and Means Committee predicted more businesses could possibly leave the U.S. in response to Joe Biden’s proposed tax hikes.
In an interview on Tuesday, Rep. Kevin Brady (R-Texas) argued that over time, smart infrastructure investments could help the economy grow. However, Brady said Biden’s plan to raise corporate taxes to pay for it could negate that economic growth.
“Right now, having the president propose a $2 trillion tax increase as we’re working our way out of the pandemic, no president has ever raised business taxes to rebuild an economy,” Brady explained. “Then to drive our rates worse than China’s and on par with Syria’s.
“At the end of the day, we’re going to see slower hiring, we’re going to see less investment in the U.S., and I would predict we will see a second wave of U.S. companies inverting or moving their headquarters overseas in the long run,” Brady stated. “That’s why I think this is such a major mistake.”
The congressman said Republicans and Democrats do agree on rebuilding roads, bridges and creating more access to broadband. However, he emphasized Biden’s infrastructure plan is full of “social spending” and has little to do with actual infrastructure.