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Tipsheet

Trump's Tax Plan Is Coming Together

AP Photo/Evan Vucci

Near the end of 2025 the Trump tax cuts, which were passed in President Trump's first term and benefitted the vast majority of Americans in all income brackets, will expire. 

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"Ever since President Trump signed the Republican-sponsored tax bill in December 2017, independent analyses have consistently found that a large majority of Americans would owe less because of the law. Preliminary data based on tax filings has shown the same," the New York Times reported in 2019. 

If they aren't renewed, those same Americans will see one of the biggest tax hikes in history. 

Trump knows this and is starting to release details about what he wants a renewal of the original tax cuts to look like, with  additions to fulfill a number of 2024 campaign promises.

These details were relayed to Republican lawmakers at a White House meeting Thursday, which included House Speaker Mike Johnson and Senate Majority Leader John Thune. 

"The president started off the meeting and sort of set the table for the discussion, and we stayed there in the cabinet meeting room for, I don't know, maybe four hours or longer. We got out the whiteboards and we worked out the framework for what we believe will be the path forward," Johnson said about the meeting. "I think we'll be able to make some announcement probably by tomorrow, and we're excited about that. The idea would be to get the Budget Committee working potentially as early as early next week, maybe Tuesday for a markup for the budget resolution."

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"And then we'll unlock this process and get it moving..our message to our friends and colleagues in the Senate is allow the House to do its work. We are moving this as quickly and as expeditiously as possible. Very positive developments today, and we're really grateful to the president for leaning in and and doing what he does best, and that is put a steady hand at the wheel and get everybody working. And that's what happened today. So we're excited about," Johnson continued. 

Former Director of the National Economic Council Larry Kudlow is sounding the alarm about the need to move on renewing current tax cuts immediately. 

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