Trump will be updating his administration’s tax overhaul plan in his today’s speech in Indianapolis.
As per news, he will announce tax cuts on businesses and individuals.
According to Trump’s plan, the corporate tax rate will slash down to 20% from 35% while the individual tax percentage to 35% from 39.6%. Also, it will repeat the estate tax, expand the child tax credits and double the size of standard deductions for the married couples and individuals.
While Trump has been repeatedly saying that he wants a 15% corporate tax rate whereas House Speaker Paul Ryan is arguing on 22.5%.
This tax cut will also be included for the country’s highest earners. However, Trump’s pledge that it would not benefit the wealthiest Americans in any way.
Whereas, administration has to say that House and Senate committees crafting this legislation could choose to include tax bracket above 35% if it seems necessary.
Trump is also expected to announce that his plan would help restore a competitive advantage for U.S businesses which in turn would result in more jobs and higher wages for Americans. Well, surely it is something good and new.
The administration officials discussed about the new framework that will help make tax code simple, fair and easier to understand.
Moreover, if any amendments are made, it would benefit the loyal, responsible and hardworking Americans along with their families, said Trump.
He previewed his plans on Tuesday with House Ways and Means Committee members from both parties and also mentioned that his tax cut plan is based on four principles: making the tax code simple and fair, lowering tax rate for the businesses, cutting tax, especially for the middle class and bringing trillions of dollars in wealth parked overseas.
Prior to this three members of Senate said they will not approve the measure, effectively killing the bill in response to White House which is looking for a legislative win after Republican leaders said Tuesday they would no longer hold a vote on their Obamacare replacement plan.