POLITICO: Donald Trump’s tax plan, and the latest polls: *Trump and his allies have vowed to push through the plan as soon as possible to help the economy rebound.
But as the White House and the GOP congressional leaders work to cobble together a final package, there are signs that the GOP is struggling to find consensus on a tax code overhaul that would create the largest tax cut in U.S. history, including an immediate $1 trillion in savings to the top 1% of Americans.
Trump is expected to announce on Friday that the House GOP plan will include the most massive tax cut to date, and could be the first major piece of legislation to be released during his first 100 days in office.
Democrats have long argued that the plan would add trillions of dollars to the deficit and hurt middle-class taxpayers.
Trump, who is set to address the nation at the conclusion of his first week in office, has repeatedly said he will sign the plan, which could be completed by the end of the year.
He’s also promised to veto the Senate bill, which would impose the largest cuts to taxes and services since World War II.
*Trump’s tax cut plan: The big picture *In a White House briefing on Friday, White House press secretary Sarah Sanders said that Trump will “give the president full authority” to make the tax cut proposal.
The White House said the plan will not change the existing tax code, but will provide a “significant” tax cut for Americans, with the goal of cutting tax rates from 35% to 15% by 2025.
“The goal is to give our country an opportunity to make its own tax choices, so it is not the case that the tax cuts will come from the top, the wealthy and the corporate world,” Sanders said.
*Inflation-adjusted gross domestic product is projected to grow by 0.2% in 2017, while the economy is projected not to grow as much as expected, according to the Whitehouse.
“In fact, the economy would actually contract in 2017 as the economy grows, because the inflation rate will be higher than expected,” Sanders noted.
*”We’re not going to have the economy grow as fast as people have feared, as people thought, that the economy was going to grow,” Sanders told reporters.
“I think we’re going to see real GDP growth of 3% this year.”
*A majority of Republicans are in favor of the tax plan *A new poll released by The Hill shows that 52% of Republicans surveyed want Trump to make a deal on tax cuts and the deficit, and only 33% oppose the plan.
The poll, which was conducted by the nonpartisan Public Policy Polling and has a margin of error of plus or minus 4.4%, finds that 60% of Republican respondents support tax cuts, while 28% oppose them.
The rest of Republicans oppose the tax bill and the economy, but oppose it on both fronts.
*GOP’s ‘biggest deal’ with Democrats comes with a big catch *In addition to tax cuts for middle-income and lower-income Americans, the WhiteHouse has said it would make it easier for people to refinance their student loans and offer them to borrowers with a down payment.
*A number of GOP lawmakers have indicated that they would support a $1.2 trillion increase in the federal debt limit, a measure that allows the Treasury Department to pay bills without raising the nation’s borrowing limit.
The Senate has passed a version of the $1tn debt limit bill earlier this week, but the House has not acted on the measure.
*Democrats have expressed concerns about how the tax and debt-ceiling increase would affect their ability to negotiate a deal with Republicans.
The tax cut would increase taxes for middle class and low-income people, which is something that Democrats have advocated for in the past.
The bill would cut the corporate tax rate from 35 to 15%, while lowering the top individual rate from 39.6% to 25%, the White HOUSE said.
But Democrats are pushing to raise the tax rate on people earning $1 million and above to 39.7%, a move that would benefit the top 2% of earners, which are projected to earn about $10 million in 2018.
*The bill would also increase the corporate rate to 25% and the individual rate to 35%, with an average of 8% of wages going to those with higher incomes.
*House Minority Leader Nancy Pelosi is demanding a “major breakthrough” on taxes.
“If we don’t get it done, it’s going to create chaos and instability in our economy, and that’s a recipe for disaster,” Pelosi said.
“We have to get this done.
This is a bipartisan effort, and we’ve got to get it.
And I know we’re not the only ones who have got to work together.
I hope we can come to a bipartisan agreement that protects our middle class, that’s affordable, that doesn’t raise taxes on middle