'Hard no': Millionaire tax hike proposal has House Republicans divided
House Republicans are divided over a proposed tax increase on wealthy Americans as part of President Trump's multitrillion-dollar agenda, with some advocating for spending cuts instead. The debate centers on how to fund Trump's policies, including the elimination of taxes on tips and overtime wages, and whether to extend the 2017 Tax Cuts and Jobs Act provisions. Some Republicans are open to considering a small tax increase if it means paying down the national debt, while others firmly oppose any tax hikes. The potential tax increase could cost up to $4.5 trillion over the next decade, and conservative members demand spending cuts as offsets. The deadline for addressing the debt limit is approaching, prompting urgent negotiations among Republican lawmakers to finalize the legislation and send it to Trump for approval.
House Republicans are split on the idea of raising taxes on wealthy Americans to fund President Trump's agenda, with fiscal conservatives demanding spending cuts instead.
The proposed tax increase, part of a larger legislative effort, could cost up to $4.5 trillion over the next 10 years, prompting some Republicans to seek at least $1.5 trillion in spending reductions.
Some GOP members, like Rep. Nicole Malliotakis, suggest a small tax increase might be considered, aiming to provide relief for the working and middle class while addressing national debt concerns.
Rep. Marlin Stutzman expresses openness to the tax proposal but highlights the need for thorough economic impact analysis, noting that some high earners are willing to pay more if it reduces debt.
The extension of the 2017 Tax Cuts and Jobs Act is crucial, as its expiration could lead to significant tax hikes for millions, adding pressure to pass new legislation.
Rep. Nathaniel Moran warns that inaction could result in the largest tax increase in American history, emphasizing the importance of maintaining low tax rates.
House Ways and Means Committee Chairman Jason Smith promises a forthcoming tax bill that focuses on growth and job creation, with details expected to be revealed soon.