Raising investment tax rates will encourage risk aversion. Muni bond investments may be necessary but tax policy that favors them to avoid confiscatory tax rates will lead to slow growth and less tax revenue. In addition, high investment tax rates will lead to prolifigate state and local spending because of easy credit access. Tax revenue and growth will also decline because wealthy investors will invest in other parts of the world with less penalty for risk taking.
The rat vision is a static economy controlled by rat fiat. The rats want to determine investment dollar flows. Everyone except corporate management will be unionized with almost continuous labor unrest. Rat policy will increase labor costs, lower employment, and increase welfare recepients. The future looks like France except France has a leader who wants to make France look less like France.
The rats look like they want a war on economic freedom. The prospects look grim for higher living standards.
Exactly, either flight or reallocation of capital, with the consequences of lower economic growth and tax revenue (exactly opposite of stated goal of higher taxes), let alone increase of unproductive economic activities seeking nothing but tax shelters and avoidance schemes which are usually directly proportionate to the highest marginal tax rates.
Of course, corporate taxes should be scrapped altogether and the sooner the better - they bring relatively little tax revenue and are the cause of most accounting abuse, while at the same time only being anticompetitive for US companies and increasing cost of US companies products to consumers.