CEA’s Emily Haggstrom looked at some of the unintended consequences of the Build Back Better bill which would negatively impact economic competitiveness in Colorado and constrain our opportunities to achieve environmental improvements.
Of significance, the proposed changes to the GILTI tax would have a more profound impact to Colorado businesses than many other states. The state of Colorado conforms to the federal code in such a way that changes to the current deduction would be brought in automatically, thereby increasing the amount of GILTI that is taxed from 50% to 75%.
Those outcomes are the last thing we need right now with inflation at the highest in 31 years and gasoline prices reaching levels not seen in seven years. As Americans face winter heating bill hikes that Uncle Sam estimates could exceed 50%, this action by the Biden administration wants to raise certain taxes that would further aggravate energy costs, hurt U.S. competitiveness and even jeopardize a cleaner climate.
Read more – Colorado Politics