Trump’s Tax Overhaul Plan Hit with New Criticism

President Donald Trump's plan to revamp the U.S. tax code came under fire once more on Tuesday from two renowned Wall Street figures, including Warren Buffet who raised the Republican push to reduce the U.S. corporate rate.

Buffett and BlackRock Inc. CEO Larry Fink both indicated in separate interviews that the corporate rate may not have to be reduced as deeply as proposed by the White House and top Republicans in Congress.

In an interview with CNBC, the chairman and CEO of Berkshire Hathaway Inc. said the corporate tax rate did not affect the competitiveness of U.S. businesses.

Meanwhile, Fink said a corporate rate as high as 27 percent could still give U.S. businesses' some breathing room, while preventing the widening in the federal budget deficit. During an interview on Bloomberg TV, Fink said that the current proposal will mean a big expansion of the country's deficits.

The Republican tax plan outlined last month calls for reducing the corporate income tax rate to 20 percent from the current level of 35 percent, which majority of multinational firms are avoiding by taking advantage of loopholes in the tax code.

Buffett added that the planned elimination of the estate tax under the Republican's plan is a 'terrible mistake'. Given that it only impacts a small percentage of Americans, scrapping the tax would not have widespread effects, he said.

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