2020 Candidate Warren Proposes New Tax on Corporate Profits - NBC10 Boston

2020 Candidate Warren Proposes New Tax on Corporate Profits

The 7% tax on corporate profits above $100 million is the latest in a series of ambitious policy proposals from Elizabeth Warren

Find NBC Boston in your area

Channel 10 on most providers

Channel 15, 60 and 8 Over the Air



    Elizabeth Warren Releases 2018 Tax Returns

    Sen. Elizabeth Warren has released her joint tax returns with her husband.

    (Published Wednesday, April 10, 2019)

    Democratic presidential candidate Elizabeth Warren is proposing a new tax on corporate profits that's designed to prevent business giants from taking advantage of the existing tax code to effectively pay a zero rate.

    The 7% tax on corporate profits above $100 million is the latest in a series of ambitious policy proposals from the Massachusetts senator. It's in line with her broader push to rein in such industries as the financial sector and technology firms.

    Her campaign estimates the proposal would hit roughly 1,200 firms. Those corporations would pay the tax on top of any liability under current tax rules, which, as Warren said in a Thursday blog post on her plan, is necessary because "our corporate tax code is so littered with loopholes that simply raising the regular corporate tax rate alone is not enough."

    Dubbing her pitch "the Real Corporate Profits Tax," Warren wrote: "It will make our biggest and most profitable corporations pay more and ensure that none of them can ever make billions and pay zero taxes again."

    Trump: I ‘Assume’ Mueller Checked My Taxes

    [NATL] Trump: I ‘Assume’ Mueller Checked My Taxes

    President Donald Trump said Wednesday he “assumes” special counsel Robert Mueller has looked at his taxes as part of his investigation. Justice Department spokesman Peter Carr said by email “we’ll decline to comment” when asked to confirm whether Mueller had obtained Trump’s tax returns.

    (Published Wednesday, April 24, 2019)

    The proposal would raise about $1 trillion of new revenue over 10 years, according to economists advising Warren's campaign. She didn't specify what that money would pay for. The new tax would be imposed on corporations' total profits in the U.S. and overseas.

    The so-called wealth tax Warren proposed in January on about 75,000 of the nation's highest-earning households would raise an estimated $2.75 trillion over 10 years, money that she later said would go partly toward creating a government-supported universal child care program.

    Warren also is billing the new corporate tax as a way to boost smaller businesses and aid competition with behemoths that may currently pay lower effective tax rates, particularly following the 2017 Republican tax overhaul, which lowered the corporate rate from 35% to 21%.

    Other Democratic presidential candidates have offered proposals designed to address individual income inequality, such as California Sen. Kamala Harris' plan for a lower- and middle-income tax credit and New Jersey Sen. Cory Booker's plan to endow savings accounts for all children. Warren's latest idea, however, is unique as a foray into new corporate taxation policy.

    Meanwhile, Warren reported on Wednesday that her campaign raised $6 million in the first quarter of the year, surpassing expectations but still lagging far behind the money raised by Harris and Vermont Sen. Bernie Sanders.

    Warren, a former Harvard University law professor, made a name for herself a decade ago with calls for greater consumer protections, which led to the creation of the Consumer Financial Protection Bureau under then-President Barack Obama.

    Supreme Court Split on Citizenship Question for 2020 Census

    [NATL] Supreme Court Split on Citizenship Question for 2020 Census

    The Supreme Court heard arguments Tuesday over the Trump administration's plan to add a citizenship question to the 2020 census. There was a divide between the court's liberal and conservative justices during arguments in the case that could affect how many seats states have in the House of Representatives, as well as their share of federal funds for the next 10 years. 

    (Published Wednesday, April 24, 2019)

    Get the latest from NBC Boston anywhere, anytime:


    Download our FREE app for iPhone, iPad and Android. You can also follow us on Facebook, Twitter and Instagram, and sign up for our e-mail newsletters.