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<\/picture>\nFederal Reserve Board Chairwoman Janet Yellen speaks during a news conference December 17, 2014 at the headquarters of Federal Reserve Board of Governors in Washington, DC. (Photo by Alex Wong\/Getty Images)<\/span><\/p>\n She added, "Biden’s Offshoring Tax Penalty is specifically aimed at those who offshore manufacturing and service jobs to foreign nations in order to sell goods or provide services back to the American market when those jobs could have been done by U.S. workers."<\/p>\n WHO IS JANET YELLEN, BIDEN'S PICK TO LEAD THE TREASURY?<\/strong><\/p>\n The plan would also reverse former President Donald Trump's 2017 Tax Cuts and Jobs Act, establish a 30.8% tax penalty for companies that profit from overseas production for U.S. sales and give a 10% tax credit to companies that make investments to create more American jobs, according to a fact sheet.<\/p>\n The policy aims to "not only penalize the offshoring of American jobs" but "reward those who invest and create jobs here in America," the fact sheet states.<\/p>\n Adam Michel, senior policy analyst at the Heritage Foundation, told Fox Business that the proposed corporate tax rate and 10% surtax penalty would increase "the cost for American firms making new investments in the US and overseas."<\/p>\n "The proposed Buy America tax credit – 10[%] tax credit incentive for investing in the U.S. – is seemingly designed to partially offset some of the negative incentives in the package of proposed tax increases," Michel said. "Taken together, the proposals amount to a significant tax increase on American employers here and abroad."<\/p>\n He added that the policy changes "will ultimately make it more difficult for American businesses to compete with foreign-based firms in foreign and domestic markets."<\/p>\n