What’s worse than a recession? A recession with tax hikes

No one planned it this way, but business taxes are going up just as the economy faces the risk of going into a recession. A combination of tax increases pushed through by Democrats, as well as ones created by Republicans years ago, would add to the strain on employers’ finances if a downturn hits, as some economists are predicting.

Altogether, the hikes — which range from a brand new corporate minimum tax to restrictions on some key deductions — are projected to cost businesses more than $100 billion this year, which is about one-quarter of their total tax bill for 2022.

Lawmakers are facing demands from the business community to rescind the provisions, which will grow louder if the economy continues to weaken. The prospect of Washington doing anything about them or anything else to help growth seems dim, though, with Congress under divided control and House Republicans hardly demonstrating unity in the early going.