President Trump’s newly unveiled tax plan seeks to cut the corporate tax rate from 35% to 20%
Big business could have big tax cuts coming — but public opinion is mixed at best.
More than half (52%) of U.S. adults believe the government should raise taxes on corporations and large businesses, compared to just 24% who say their tax rates should be lowered, according to a Pew Research poll released Wednesday. A little over one-fifth said corporate tax rates should remain at the status quo.
Though Pew found less enthusiasm for hiking higher-income households’ taxes, support for raising taxes was still higher than support for lowering them: 43% said households making more than $250,000 should have their taxes raised, while 24% said their taxes should be lowered and 29% wanted no change.
The poll results debuted the same day President Trump unveiled the Republican-backed tax plan, which prescribes scaling back the corporate tax rate to 20% from its current 35%.
Convincing majorities of Democrats and Democrat-leaning independents favor corporate tax increases and tax hikes on higher-income households (69% and 57%, respectively), while Republicans and Republican leaners have more mixed opinions. Forty-one percent of them want corporate taxes lowered, 32% want them raised and 23% want them to remain the same; as for taxes on the highest earners, 36% said they should increase, 26% wanted a decrease and 33% wanted to keep them the same.
Higher-income GOPers and leaners were also more likely to favor tax cuts on corporations and wealthy households, according to the poll of 1,893 U.S. adults conducted between Aug. 15 to 21. Fifty-five percent of those with family incomes $100,000 and up approved of slashing corporate tax rates, in contrast to 29% of people from households making under $30,000 and 38% among those from households making between $30,000 and $74,999.
When it came to taxes on the highest-earning households, 50% of Republicans in the $100,000-and-up bracket wanted them lowered; support hovered around one-third among lower-income respondents.
Though concrete specifics on the GOP-led tax overhaul have yet to emerge, the plan calls for a reduction in the number of individual tax rates from seven to three, a potential lowering of the top rate from 39.6% to 35%, an increase in the child tax credit, and nixing both the estate tax and Alternative Minimum Tax, among other provisions.
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