President Donald Trump said he would be fine with Republican lawmakers raising taxes on the wealthy, but acknowledged the political challenges of doing so for the party as he prepares to meet with the head of the House tax committee on Friday.
“Republicans should probably not do it, but I’m OK if they do!!!,” Trump
Trump has been pushing lawmakers to increase rates on some of the wealthiest Americans as a way to offset other cuts in an economic package Republicans are preparing to move through Congress. He has also offered mixed messages on his proposal, complicating efforts to finalize the legislation. Higher taxes go against long-standing Republican orthodoxy and could further hamper efforts to move the tax legislation.
The president’s proposal, which he made in a phone call to House Speaker Mike Johnson earlier this week, calls for creating a new 39.6% tax bracket for individuals earning at least $2.5 million, or couples making $5 million, according to people familiar with the discussion.
“The problem with even a ‘TINY’ tax increase for the RICH, which I and all others would graciously accept in order to help the lower and middle income workers, is that the Radical Left Democrat Lunatics would go around screaming,”Read my lips,” Trump added on social media, a reference to former President George H.W. Bush. Bush had courted Republicans in his party’s presidential primary with the pledge on taxes only to agree to a tax increase when in office.
Representative Jason Smith, the chairman of the House tax committee, is expected to meet with Trump Friday and tell him the tax bill will deliver on the president’s priorities, according to a congressional aide.
Raising taxes on the affluent would give the party more breathing room as they look to find ways to pay for the cost of the multitrillion package that aims to renew expiring tax cuts from Trump’s first term and enact additional promises he made on the campaign trail, such as no taxes on tips.
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