Trump advises Speaker Mike Pence to boost taxes for wealthier individuals, introducing a fresh twist to the extensive GOP legislation.
Unfiltered Insights on Trump's Tax Agenda:
President Trump is trying to stir things up in the GOP's tax discussions by advocating for an increased tax rate on high earners that would tax individual incomes exceeding $2.5 million at 39.6%. This move poses challenges for the Republicans, who usually steer clear of tax hikes.
Although this new 39.6% tax bracket has received some attention, there's no explicit mention of Trump demanding the closure of the carried interest loophole in recent conversations. The main focus appears to lie in targeting ultra-high earners.
Here's the revamped version of the article, giving it a touch of originality while maintaining the core essence:
Washington DC - President Trump caught House Speaker Mike Johnson, R-La., off guard during a phone call Wednesday, privately lecturing him to add two extraordinary proposals to the monster bill for his agenda: one to boost taxes on the wealthiest folks and the other to eliminate the so-called carried interest loophole. Two other GOP sources, familiar with the call, echoed this unprecedented move.
Trump's last-minute demands make a mess for Republican lawmakers as they tussle to find savings for the bill, aiming to prolong his 2017 tax cuts, strengthen immigration enforcement and defense, and hike the debt limit.
The White House has been toying with the idea of taxing the rich for months. Now, they're claimed to be on the verge of pinning down the top-line number, according to one GOP source involved in the call.
Another GOP source confided that Trump is contemplating increasing taxes on individuals making $2.5 million or more yearly, letting them bear the pre-2017 39.6% rate to safeguard Medicaid and foot the bill for middle-class and working-class tax cuts.
Punchbowl News breaks the news regarding the call.
Despite Republicans occasionally throwing around the idea of allowing tax rates on high earners to soar when parts of the 2017 tax law expire at the end of this year, GOP leaders have always balked at the thought of taxing the rich. Just last month, Trump himself dismissed the idea, labeling it disruptive.
Yet, with Trump coercing Johnson to reconsider and House Republicans struggling to make the numbers work for their gigantic bill, leadership finds itself revisiting past plans.
A senior House Republican closely wrapped up in the negotiations unveiled to NBC News that over the past 24 hours, there's been renewed chat among House GOP conference members about potentially boosting the top tax rate and shutting down the carried interest loophole.
Inquired on how seriously the new proposals are taken, the House Republican replied, "At this point, we have to find the savings, so I think everything is up for grabs."
The tax-writing House Ways and Means Committee is scheduled to mark up its component of the reconciliation bill next week, but it's still wrestling with several complex issues, such as raising the cap on the state and local tax deduction, or SALT. House GOP leaders dream of passing the final package on the floor before Memorial Day, which is a bold ambition.
- The White House is reportedly on the verge of finalizing a top-line number for a new tax plan that includes hiking taxes on the rich.
- President Trump is said to be urging House Speaker Mike Johnson to include two proposals in the bill: increasing taxes on individuals earning over $2.5 million and eliminating the carried interest loophole.
- House Republicans are facing challenges in finding savings for the bill, which aims to extend Trump's 2017 tax cuts, strengthen immigration enforcement, defense, and hike the debt limit.
- Trump's push for higher taxes on the wealthy forces Republicans to reconsider past plans, including allowing tax rates on high earners to rise when the 2017 tax law expires.
- over the past 24 hours, there's been renewed chat among House GOP conference members about potentially boosting the top tax rate and shutting down the carried interest loophole.
- In light of the need to find savings, a senior House Republican involved in the negotiations suggested that everything, including hiking taxes and closing the carried interest loophole, is up for grabs.
