Billionaire banking CEO Jamie Dimon of JPMorgan Chase (JPM) says that America needs corporate tax reform.
During a Q&A session at JPMorgan’s investor day, Dimon said America needs corporate tax reform because we’ve been driving “brains” and “capital” overseas. He noted that it’s “not hurting JPMorgan Chase” but it’s impacting Americans.
According to Dimon, cutting corporate taxes helps wages the most.
“The studies show lower taxes help wages flow to lower paid Americans. It’s the flipside of unintended consequences,” Dimon said. “What I’d like to see: do things that are great for America.”
He noted that if wages rise, five million more people may go back into the job market.
Timing matters, though.
“What I know about tax: one fundamental issue is whether Obamacare comes first. That will delay tax [reform]. The timetable is very important. At the best case, if Obamacare comes first, [tax reform] will take 12 months.”
Treasury Secretary Steven Mnuchin recently said he expects a tax reform bill to be passed through the House and Senate by July before the fall recess.
Dimon added he’s going to let Congress and the Trump administration “worry about making the sausage.”
“The president and his team met with an awful lot of people,” he said. “Top professional people there who are working on this. At the end of the day, you get great corporate reform or just modest. I hope it’s great. I don’t know the odds.”
JPMorgan, the largest U.S. bank by assets, has surged more than 29% since election day. The stock has been hovering close to an all-time high of $91.34. The stock was last trading at $90.69 on Tuesday afternoon.
Julia La Roche is a finance reporter at Yahoo Finance. Follow her on Twitter.
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