Arab Press

بالشعب و للشعب
Monday, Apr 13, 2026

Biden softens on corporate tax hike, saying it could be set between 25% and 28%

Biden softens on corporate tax hike, saying it could be set between 25% and 28%

"What I'm proposing is badly needed and able to be paid for and still grow," Biden said in a speech. "Trickle-down ain't working very well, man."

In an address in Louisiana, President Joe Biden said the corporate tax rate should be between 25% and 28% — a potential sign of compromise with moderate Democrats.

Biden had proposed a 28% corporate tax rate, an increase from its current rate of 21%, to offset his planned infrastructure spending. The rate was slashed from 35% in former President Donald Trump's 2017 tax law.

"That's a couple hundred billion dollars," Biden said of upping the rate. "We can pay for these things. I'm not talking about deficit spending."

He added: "What I'm proposing is badly needed and able to be paid for and still grow. Trickle-down ain't working very well, man."

Biden has previously signaled he's open to compromising on the corporate tax rate, but he's also defended the 28% level, and hasn't explicitly mentioned 25% as realistic before. In a prior speech when he said the 35% rate was too high, he added that he was "sick and tired of ordinary people being fleeced."

"What I'm proposing is that we meet in the middle: 28%. Twenty-eight percent — we'll still have lower corporate rates than any time between World War Two and 2017," Biden said. "It will generate over $1 trillion in taxes over 15 years."

Moderate Democrats like Joe Manchin have indicated they favor a 25% corporate tax rate


Sen. Joe Manchin, a pivotal vote for the Democrats' razor-thin Senate majority, has made it clear that he favors more of a 25% rate. In an interview with Talkline, a West Virginia radio show, Manchin said the rate should have never gone below 25%.

"That's the worldwide average," he said. "And that's what basically every corporation would have told you was fair."

Sen. Mark Warner (D-Va.) has also expressed his hesitations, telling NBC that he wouldn't "wouldn't go as far as 28% on the corporate rate."

Axios reported that Senate Democrats were likely to pursue a 25% corporate tax rate, which would not offset the entire cost of Biden's proposed spending. It would, however, bring moderates like Manchin into the fold — and potentially get them on board with another party-line vote.

Biden also discussed a similar rate in a bipartisan infrastructure meeting in April. He said in Thursday's speech that he'd be meeting with his "Republican friends" to discuss the plan. However, Senate Minority Leader Mitch McConnell (R-Ky.) has said that revisions to the 2017 tax bill are off limits, and has drawn a red line at $600 billion in infrastructure spending.

But, while Biden said he's open to compromise, he's not ready to do nothing: "I'm not ready to have another period where America has another infrastructure month and doesn't change a damn thing."

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Strategic Saudi-Bahrain Causeway Closed Amid Security Concerns as Trump Deadline Approaches
Saudi Arabia Keeps Red Sea Oil Exports Flowing Despite Regional Tensions
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
Saudi Business Leader Abudawood Appointed Chairman of Merit Incentives Group
TotalEnergies Confirms Damage at Saudi Refinery Following Security Incident
Saudi Arabia Launches Early Construction Phase for King Salman Stadium Project
Saudi Shift Away from Longstanding Dollar Oil Framework Gains Attention Amid Iran Conflict
Türkiye and Saudi Arabia Resolve Long-Running Transit Visa Dispute
Saudi Oil Capacity and Pipeline Flows Reduced as Supply Risks Intensify
TotalEnergies Reports Damage to Saudi SATORP Refinery Following Security Incidents
Gulf States Assess Prospects of U.S.-Iran Truce as Regional Stability Efforts Intensify
South Korea Resumes Honey Exports to Saudi Arabia Following Sanitary Approval
Saudi Arabia Carries Out Sentences in Eastern Province Following Security Convictions
Saudi Sovereign Wealth Fund Backs King Street’s Regional Credit Strategy
Saudi Arabia Secures World Cup Return as Egypt Celebrates Landmark Qualification
Iran and Saudi Arabia Intensify Diplomatic Engagement Amid Regional Tensions
Russia and Saudi Arabia Open Visa-Free Travel Corridor for Citizens
Saudi Oil Output Capacity Reduced by 600,000 Barrels Per Day Amid Regional Conflict
Saudi Arabia Suspends Operations at Select Energy Sites as Precautionary Measure
Saudi Arabia Halts Operations at Multiple Energy Facilities Amid Heightened Tensions
Global Markets Jolt as Iran Signals Ceasefire Breakdown and Rising Regional Tensions
King Street Aligns with Saudi Sovereign Wealth Fund to Expand Alternative Investments in Middle East
Attack on Saudi Arabia’s Jubail Petrochemical Hub Raises Global Supply Concerns
Debate Emerges Over Saudi Strategic Decisions as Gulf Cooperation Council Dynamics Come Into Focus
Saudi Arabia Expands Full Workforce Localisation to 69 Professions in Major Labour Reform
Emerging Alliance of Pakistan, Turkey, Egypt and Saudi Arabia Signals New Regional Power Dynamic Amid Iran Conflict
Iran Linked to Strikes Across Gulf States Following Refinery Attack Escalation
Saudi Arabia Voices Concern Over Fragile US–Iran Ceasefire Stability
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
Saudi Arabia’s Key East-West Oil Pipeline Targeted Following Ceasefire Announcement
Iran Targets Saudi Arabia’s East-West Oil Pipeline in Escalating Regional Tensions
Trump Warns of Civilizational Stakes as Iran Halts Negotiations
Saudi Companies Expand Remote Work Measures Ahead of Iran-Related Security Concerns
Iran Warns of Strikes on Saudi Energy Infrastructure if US Targets Its Facilities
Iran Urges Civilians to Form Human Shields Around Nuclear Sites as Diplomatic Deadline Approaches
Saudi Arabia Raises Oil Prices to Record Premiums Amid Supply Pressures Linked to Iran Conflict
Key Saudi-Bahrain Causeway Closed Amid Heightened Security Concerns Linked to Iran
Formula One Calendar Gap Explained as Fans Await Next Grand Prix
Growing Strain on the Petrodollar System Comes Into Focus Amid Iran Conflict
Reported Strike on Saudi Arabia’s Jubail Complex Raises Global Energy Supply Concerns
FedEx Introduces New Digital Tool to Streamline Imports into Saudi Arabia
Iran Claims Strike on Saudi Arabia’s Jubail Petrochemical Complex Amid Rising Regional Tensions
Taiwan to Source Oil Shipments from Saudi Arabia’s Red Sea Ports
Saudi Arabia Evacuates Riyadh Financial District as Precaution Amid Regional Tensions
Saudi Arabia Balances Ambitious Economic Vision Amid Regional Tensions and Financial Pressures
Budget Saudi Arabia Reports Strong Full-Year 2025 Financial Performance
Saudi Arabia Expands Investment in Capcom With Stake Reaching Six Percent
Saudi Arabia Assesses Significant Economic Impact From Regional Conflict Involving Iran
US Beef Secures Expanded Market Access in Saudi Arabia
Jordan and Saudi Arabia Declare Absolute Solidarity in Response to Iranian Threats
×