Corporate taxes contribute to the revenue of the federal government by providing funding for the services and organizations which it supplies to its citizens. Unsurprisingly, individuals are proponents of corporations absorbing a largest portion of the national taxes. Whereas, corporate stockholder and management would be opponents of that policy push. Therefore, each side strives to quantify the ancillary costs of tax decisions. This research study delves into the concepts of lower corporate taxes by considering its costs and benefits. By utilizing an objective approach to whether higher taxes can assist or impede economic growth, one can better understand the short and long-term effects of its utilization. This paper will explore the differences between the two and offer an opinion on whether corporate tax cuts contribute to the U.S. economic environment.
U.S. corporate tax rate, Tax Cuts and Jobs Act