• Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock
Editor's Pick

No millionaire tax hike in Trump’s ‘big, beautiful bill’

by May 12, 2025
written by May 12, 2025

House Republicans have seemingly dropped plans for a new millionaire’s tax hike to pay for other priorities in President Donald Trump’s ‘big, beautiful bill.’

The Ways & Means Committee, the House’s tax-writing panel, released nearly 400 pages of legislation on Monday, setting the stage for permanently extending Trump’s 2017 Tax Cuts and Jobs Act (TCJA), as well as a host of other new Trump tax priorities.

That includes no taxes on tipped and overtime wages, both of which are accomplished via new tax deductions.

For Trump’s promise to cut taxes on seniors’ Social Security, the legislation temporarily increases the standard tax deduction that seniors are allowed to take, affecting the end of last year through the beginning of 2029.

It would also raise the debt limit by $4 trillion – something Trump specifically asked Republican lawmakers to deal with before the U.S. runs out of cash to pay its debts sometime this summer, risking a national credit default.

Notably absent from the sweeping piece of legislation is a proposal floated last week that would have established a new tax bracket for people making $2.5 million per year or more, taxing them at 39.6% – which was the top tax rate before TCJA lowered it to 37%. 

Conservative groups like Americans for Prosperity and the Heritage Foundation fiercely fought any notion of a tax increase on the wealthy.

It was also publicly opposed by a number of leading Republican figures like former Speaker Newt Gingrich and ex-Vice President Mike Pence, along with Pence’s interest group, Advancing American Freedom.

Several House GOP lawmakers told Fox News Digital last week they could not support a millionaire’s tax hike. 

Two people familiar with discussions told Fox News Digital on Monday that they did not expect it to be included before the bill advanced through committee on Tuesday.

But Republicans find other cost-savings in the legislation, including stripping tax-exempt status from ‘terrorist-supporting organizations’ and using artificial intelligence (AI) software to identify and root out improper Medicare payments.

The bill would also dramatically reduce tax breaks for professional sports team owners, a measure known as amortization, which allows those owners to write off a portion of their purchase price.

Republicans also target large private colleges and universities, including Ivy Leagues, with higher excise taxes, which are federal duties paid on net earnings of the schools’ investments.

That rate is currently 1.4%. But the legislation would bring it to as high as 21% for the largest schools, like Harvard University and Yale University – as Trump continues to battle Ivy League over their funding.

The Ways & Means Committee is expected to advance its portion of the legislation on Tuesday afternoon.

It’s just one portion of Trump’s so-called ‘one big, beautiful bill,’ which Republicans are working to pass via the budget reconciliation process.

By lowering the Senate’s threshold for passage from 60 votes to 51, it allows the party controlling Congress and the White House to entirely skirt the minority and pass sweeping pieces of legislation – provided they deal with the national debt, tax, or spending.

Trump wants Republicans to use it to pass his agenda on taxes, the border, immigration, energy, and defense.

Meanwhile, the U.S. is currently more than $36 trillion dollars in debt.

House Republicans have pledged to find between $1.5 trillion and $2 trillion in cost savings in other areas to offset the cost of Trump’s new priorities and put the U.S. on a better fiscal path.

The tax legislation also increases the maximum allowed child tax credit (CTC) from $2,000 to $2,500, and includes added tax relief for small business owners who file their company under individual income tax brackets.

It also includes a modest victory for blue state Republicans in increasing the state and local tax (SALT) deduction cap from $10,000 to $30,000 for both single filers and married couples. Married taxpayers filing separately get a cap of $15,000.

That maximum amount gets phased out if a person’s income exceeds $400,000, back down to $10,000 once a person’s income hits $500,000.

SALT deductions are primarily aimed at helping people in high-cost-of-living areas, particularly people in the suburbs of Democratic strongholds like New York and Los Angeles.

Republicans representing those areas have said increasing the $10,000 SALT deduction cap is critical to them remaining in office – and therefore to the GOP keeping the House majority.

Several SALT Caucus Republicans balked at a $30,000 cap last week, blasting it as insufficient. It’s not clear if they will hold up the final bill over it, however, with at least one member of their group, Rep. Nicole Malliotakis, R-N.Y., told Fox News Digital she could agree to the new threshold.

The Monday release comes after Republicans unveiled a portion of their tax plan over the weekend. Other details like SALT deduction caps and potential new tax brackets were still being worked out, however.

This post appeared first on FOX NEWS
0 comment
0
FacebookTwitterPinterestEmail

previous post
Senior House Republican eviscerates Dems for ‘fear campaign’ against Trump’s ‘big, beautiful bill’
next post
Monica Crowley clears Senate confirmation for key State Department ambassadorship

related articles

Trump’s 20th week in office to include White...

June 2, 2025

Rand Paul says he would support ‘big, beautiful...

June 1, 2025

Kevin Hassett ‘very, very confident’ courts will back...

June 1, 2025

Senate Republicans eye changes to Trump’s megabill after...

June 1, 2025

House Dems’ campaign chair says her party’s ‘on...

June 1, 2025

Trump shares post saying Biden was executed, replaced...

June 1, 2025

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
Enter Your Information Below To Receive Free Trading Ideas, Latest News, And Articles.


Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest News

  • Ripple and Tron: Tron is once again close to the weekly high

    July 25, 2024
  • After a month, the dollar index is back at the 104.00 level

    July 12, 2024
  • ‘Tightest race since 2000’: Harris-Trump showdown hits final stretch until Election Day

    October 5, 2024
  • Syrian rights activist and cousin of Assad tears into Europe for supporting new ‘terrorist’ regime

    March 15, 2025
  • Tim Walz and AOC play Madden on Twitch in attempt an appeal to young male voters

    October 28, 2024

Popular Posts

  • 1

    Secret Service admits leaning on ‘state and local partners’ after claim it ignored Trump team’s past requests

    July 21, 2024
  • 2

    Elon and Vivek should tackle US funding for this boondoogle organization and score a multimillion dollar win

    December 4, 2024
  • 3

    Forex Profit Calculator: Maximize Your Trading Potential

    July 10, 2024
  • 4

    Five more House Democrats call on Biden to drop out, third US senator

    July 19, 2024
  • 5

    Biden calls to ‘lower the temperature’ then bashes Trump in NAACP speech

    July 17, 2024

Categories

  • Economy (829)
  • Editor's Pick (4,748)
  • Investing (624)
  • Stock (775)

Latest Posts

  • Entain share price gets oversold ahead of earnings

    August 7, 2024
  • Trump reportedly plans to unleash around 100 executive orders after taking office

    January 11, 2025
  • 6 House races tilt in Dems’ favor as GOP fights to keep its razor-thin majority

    September 6, 2024

Recent Posts

  • The 10 worst states to retire in the U.S. No. 1 isn’t California or New York

    July 31, 2024
  • Senate confirms Pam Bondi as US attorney general

    February 5, 2025
  • PEDO Act: Lawmaker moves to protect Epstein files, accuses ‘certain FBI agents’ of trying to destroy docs

    February 27, 2025

Editor’s Pick

  • U.S. foreign tax bill sends jitters across Wall Street

    May 30, 2025
  • Trump Organization sues Capital One bank over account closures after Jan. 6 Capitol riot

    March 10, 2025
  • Oil executives bluntly criticize Trump tariffs and ‘drill, baby, drill’ mantra

    March 27, 2025
  • About us
  • Contacts
  • Privacy Policy
  • Terms & Conditions

Disclaimer: moneyrisetoday.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2025 moneyrisetoday.com | All Rights Reserved

Money Rise Today – Investing and Stock News
  • Economy
  • Editor’s Pick
Money Rise Today – Investing and Stock News
  • Investing
  • Stock