June 11, 2019 Press Release

Big Corporations, Ultra-Rich Get Richer Under McSally Tax Law

Big Corporations, Ultra-Rich Get Richer Under McSally Tax Law

New report: “[W]ealthy people and corporations have so much money they literally don’t know what to do with it”

Meanwhile: “[A]lmost 40% of Americans would still struggle in the face of a $400 financial emergency”

The McSally-backed 2017 GOP tax law sent 83% of benefits to big corporations and the richest 1% of Americans

PHOENIX — The negative coverage continues for U.S. Sen. Martha McSally‘s tax giveaway to big corporations and billionaires. According to a new report from Axios, McSally’s 2017 tax law has helped lead to “wealthy people and corporations hav[ing] so much money they literally don’t know what to do with it,” even as “almost 40% of Americans would still struggle in the face of a $400 financial emergency.”

Here are the key takeaways, via Axios:

  • “[W]ealthy people and corporations have so much money they literally don’t know what to do with it”;
  • “U.S. companies raked in a record $2.3 trillion in corporate profits last year”;
  • “[L]arge companies around the world are overwhelmingly and uniformly choosing not to reinvest much of it into their businesses. They’re hoarding it in cash and buying back stock”;
  • “The Tax Cut and Jobs Act — i.e., the Trump tax cut — exacerbated these issues, slashing the share of U.S. taxes that companies paid to its lowest level in at least half a century and provided companies even more capital for buybacks, dividends and executive compensation.”

The McSally-backed tax law has — as anticipated — been a massive giveaway to McSally’s corporate special interest backers, incentivizing large corporations toward “hoarding [profits] in cash and buying back stock,” rather than giving workers a raise.

And the results aren’t “trickling down” to hardworking families: A recent Federal Reserve survey found that “almost 40% of Americans would still struggle in the face of a $400 financial emergency.”

McSally’s tax-cuts-for-billionaires economic agenda has been great for her big donors and corporate special interest backers, but it’s leaving Arizona working families behind, and even forcing families to shoulder more of the tax burden.