House Republicans will not lower taxes for the most affluent Americans, people familiar with House Speaker Paul Ryan's (R-Wis.) plans told The Wall Street Journal. While the GOP had initially proposed a decrease to 33 percent for the highest earners, down from the current 39.6 percent, Republicans are now poised not to change the rate at all, or change it only by a very small amount. "The overall bill, it is a winner, and that's why I'm excited," said House Majority Leader Kevin McCarthy (R-Calif.) ahead of the legislation's release, which has been postponed from Wednesday to Thursday.
The exact income brackets are not yet clear, although The Wall Street Journal calls it "likely" that the 39.6 percent tax rate will apply to a higher threshold than today's $480,050, meaning fewer wealthy Americans will actually pay at that level. Additionally, Democrats are expected to take issue with many benefits that remain for the wealthy, including the higher cutoff, a delayed, phased-in repeal of the estate tax, and other proposals the richest Americans can use to pay less than their 39.6 percent rate.
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.
-
The Spanish cop, 20 million euros and 13 tonnes of cocaineIn the Spotlight Óscar Sánchez Gil, Chief Inspector of Spain's Economic and Tax Crimes Unit, has been arrested for drug trafficking
-
5 hilarious cartoons about the rise and fall of Matt GaetzCartoons Artists take on age brackets, backbiting, and more
-
The future of XTalking Point Trump's ascendancy is reviving the platform's coffers, whether or not a merger is on the cards
-
US charges Indian tycoon with bribery, fraudSpeed Read Indian billionaire Gautam Adani has been indicted by US prosecutors for his role in a $265 million scheme to secure solar energy deals
-
Boeing machinists approve contract, end strikeSpeed Read The company's largest union approved the new contract offer, ending a seven-week strike
-
US economy still strong in final preelection reportSpeed Read It grew at a solid 2.8% annual rate from July through September
-
Boeing machinists reject deal, continue strikeSpeed Read The rejection came the same day Boeing reported a $6.2 billion quarterly loss
-
Ports reopen after dockworkers halt strikeSpeed Read The 36 ports that closed this week, from Maine to Texas, will start reopening today
-
Empty-nest boomers aren't selling their big homesSpeed Read Most Americans 60 and older do not intend to move, according to a recent survey
-
Brazil accuses Musk of 'disinformation campaign'Speed Read A Brazilian Supreme Court judge has opened an inquiry into Elon Musk and X
-
Disney board fends off Peltz infiltration bidSpeed Read Disney CEO Bob Iger has defeated activist investor Nelson Peltz in a contentious proxy battle
