Simple Smart Seminar
  • Stock
  • Investing
  • Politics
  • Tech News
  • Editor’s Pick
Politics

Trump considers tax hike on Americans making $2.5 million or more per year

by May 8, 2025
May 8, 2025 0 comment

President Donald Trump is considering a small tax increase for wealthy Americans to help pay for his priorities to boost the middle and working classes.

A source familiar with Trump’s thinking told Fox News Digital that Trump is considering allowing the rate on individuals making $2.5 million or more to increase by 2.6%, from 37% to 39.6%.

He quietly pushed Speaker Mike Johnson, R-La., on the idea in a phone call on Wednesday, two people familiar with conversations told Fox News Digital.

It comes as Republicans work on a massive piece of legislation advancing Trump’s priorities on taxes, border security, immigration, energy, defense and the national debt, which the president has dubbed his ‘big, beautiful bill.’

Differing projections show the bill is likely to add trillions of dollars to the country’s deficit over the next 10 years, so fiscal hawks are looking for ways to mitigate that and set up America for a less bloated government down the line by pairing the new priorities with deep spending cuts elsewhere.

The tax portion of the bill is expected to be the costliest portion. 

Republicans are hoping to extend the 2017 Tax Cuts and Jobs Act (TCJA) as well as pay for newer Trump priorities like eliminating taxes on tips, overtime wages and retirees’ Social Security.

TCJA previously lowered taxes for the highest bracket from 39.6% to 37%, but that’s set to expire at the end of 2025. Trump wants to restore that top bracket, albeit for people making significantly more money than the current threshold. The current top tax bracket is $609,350 for single income earners.

The source familiar with Trump’s thinking said doing so would help pay for his ‘massive’ tax cuts for the middle and working classes, as well as protect Medicaid coverage for millions of Americans.

Punchbowl News first reported details of the Trump-Johnson phone call.

It’s not clear yet what Republicans will decide, or even if they will ultimately decide to raise taxes on the highest earners – but details are expected to emerge in the coming days.

The Ways & Means Committee, the House’s tax-writing panel, is expected to meet on Tuesday afternoon to advance that portion of Trump’s bill.

Talks about potential tax hikes on the wealthy have triggered a deep rift within the Republican Party. 

Mainstream conservatives have balked at discussions of raising rates on anyone, arguing it would have a negative impact on job creators, while populist and more moderate Republicans have floated such ideas in order to pay for Trump’s priorities to benefit the middle and working classes.

‘Raising taxes on America’s highest earners and biggest job creators makes no sense,’ Marc Short, a former chief of staff to ex-Vice President Mike Pence and a key part of TCJA negotiations, told Fox News Digital.

‘I don’t understand why there are some inside the current administration who are pushing Congress to raise the top rate, because again, these are America’s job creators.’

Other Republicans told Fox News Digital in recent weeks that they believe the idea could be popular, however.

‘I’m open-minded to what the president or the treasury secretary may have in mind. And I would want to see some numbers behind it and how it would have an effect on the economy,’ conservative Rep. Marlin Stutzman, R-Ind., told Fox News Digital in late April.

‘What I’ve heard from people in the upper tax brackets is, you know, they’re willing to pay more as long as they know that it’s paying the debt down. They don’t want to see it go toward more spending.’

Fox News Digital reached out to the White House and Johnson’s office for comment.

This post appeared first on FOX NEWS
0 comment
0
FacebookTwitterPinterestEmail
previous post
Corporate Welfare and Low-Income Welfare
next post
GOP senators: Congress should vote on Trump’s potential Iran nuclear deal

You may also like

Trump warns Rand Paul he’s playing into ‘hands...

June 1, 2025

White House urges Iran to accept nuclear deal...

June 1, 2025

Israel hostage deal in doubt as Hamas adds...

May 31, 2025

Iran condemns Austria over report on advanced nuclear...

May 31, 2025

ROBERT MAGINNIS: 9 signs Beijing’s Taiwan invasion may...

May 31, 2025

Hamas agrees to release 10 more hostages

May 31, 2025

Michelle Obama facing backlash over claim about women’s...

May 31, 2025

Hunter Biden seen driving Toyota rental in South...

May 31, 2025

Trump tariff plan faces uncertain future as court...

May 31, 2025

Who will be Elon’s successor? The top names...

May 30, 2025

    Fill Out & Get More Relevant News


    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Week Ahead: NIFTY Stays In A Defined Range; Moving Past This Level Crucial For Resumption Of Upmove

      May 31, 2025
    • Breakouts, Momentum & Moving Averages: 10 Must-See Stock Charts Right Now

      May 31, 2025
    • Leadership Rotation Could Confirm Corrective Phase

      May 30, 2025
    • Run Your Stock Portfolio Like a Pro Sports Team

      May 30, 2025
    • Analyzing SIL, USO, and NVDA: Could These Bullish Patterns Trigger?

      May 29, 2025
    • Nuclear Power Trio: OKLO, SMR, and CCJ in Focus

      May 29, 2025
    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 simplesmartseminar.com | All Rights Reserved

    Simple Smart Seminar
    • Stock
    • Investing
    • Politics
    • Tech News
    • Editor’s Pick