Source: Global Market Express

According to insiders, the U.S. Republican Party is considering setting a new tax bracket for those with incomes of $1 million or more in order to cover part of the cost of their tax bill, which is sharply different from the party's decades-long stance against tax increases.

Insiders who requested anonymity because negotiations are ongoing said that the discussions include a new top tax rate, which would be around 39% to 40%.

The insiders reminded that these tax plans are subject to change and may still be adjusted. Officials in President Donald Trump's administration and their allies on Capitol Hill are beginning to draft a tax plan with the hope of getting it passed within the next few months.

Other considerations include raising the top tax rate to 39.6% from the current 37%, applying it to those earning over $626,350.

Donald Trump

Representatives from the White House and the Treasury Department did not immediately respond to requests for comment.

The possibility of increasing taxes - even for the wealthiest Americans - could spark controversy within the Republican Party. The party has shifted from essentially requiring its members to pledge no new taxes to embracing more populist ideas under Trump's leadership.

Insiders said that this time, government officials do not want the tax bill to be seen as a gift to the rich.

They said that Treasury Department officials also urged their allies in the White House and on Capitol Hill to take swift action on the tax plan to offset market turbulence and economic uncertainty caused by Trump's comprehensive tariff policy announced on Wednesday.

The goal of Republicans is to pass a tax bill within the next few months that will extend the tax cuts of 2017, raise the federal debt ceiling, and include another round of tax cuts.

The Senate will vote on a budget resolution in the coming days, paving the way for the passage of this tax bill.

Original source: https://www.toutiao.com/article/7489209861587190272/

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