President Trump will announce his intention to cut tax rates for businesses and the wealthy and raise the lowest individual tax rate in a speech in Indianapolis on Wednesday, Reuters reports. The plan will be promoted as a win for the middle class because it will also double the standard deduction for all taxpayers: "In the end, even the lowest rates get a tax cut," explained Rep. Jim Renacci (R-Ohio).
Still, analysts fret that if "economic growth projected by Republicans fails to materialize," then massive tax cuts could "balloon the federal deficit and debt," Reuters writes. And while the president called for bipartisan reform on Tuesday, "Trump asked for Democrats to jump on the caboose after the tax train has already left the station," said Rep. Lloyd Doggett (D-Texas), who suggested many in his party would not be willing to get on board with the plan.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
-
5 heavy-handed cartoons about ICE and deportationCartoons Artists take on international students, the Supreme Court, and more
-
Exploring the three great gardens of JapanThe Week Recommends Beautiful gardens are 'the stuff of Japanese landscape legends'
-
Is Prince Harry owed protection?Talking Point The Duke of Sussex claims he has been singled out for 'unjustified and inferior treatment' over decision to withdraw round-the-clock security
-
Markets notch worst quarter in years as new tariffs loomSpeed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panelsSpeed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
-
Crafting emporium Joann is going out of businessSpeed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores
-
Trump's China tariffs start after Canada, Mexico pausesSpeed Read The president paused his tariffs on America's closest neighbors after speaking to their leaders, but his import tax on Chinese goods has taken effect
-
Chinese AI chatbot's rise slams US tech stocksSpeed Read The sudden popularity of a new AI chatbot from Chinese startup DeepSeek has sent U.S. tech stocks tumbling
-
US port strike averted with tentative labor dealSpeed Read The strike could have shut down major ports from Texas to Maine
-
Biden expected to block Japanese bid for US SteelSpeed Read The president is blocking the $14 billion acquisition of U.S. Steel by Japan's Nippon Steel, citing national security concerns
-
Judges block $25B Kroger-Albertsons mergerSpeed Read The proposed merger between the supermarket giants was stalled when judges overseeing two separate cases blocked the deal
