Border Adjustment Tax Would Hurt Latinos
(Washington, D.C.) – As Congress prepares to debate tax reform, some policymakers have endorsed a Border Adjustment Tax, which would raise more than $1 trillion in new taxes over the next ten years. The tax would be imposed on imports from all countries, with consumers who purchase those products ultimately bearing the cost.
Daniel Garza, President of The LIBRE Initiative, released the following statement:
“With federal revenues at an all-time high – and with Congress focused on tax reforms that may lower the tax burden on families and employers, this is not the right time to consider a massive tax increase. The ‘Border Adjustment Tax’ being endorsed by some in Congress would ultimately be borne by U.S. consumers, in the form of higher prices for many of the basic products people need in their everyday lives. While Congress should be commended for examining ways to make American companies more competitive in the international marketplace – and in particular, to reduce the tax burden for all Americans – that objective can be achieved without a massive tax increase on working families, which is what the Border Adjustment Tax would do. Latinos would be among those hardest hit, since our community tends to spend a disproportionate share of income on necessities, rather than luxury items.”