House Republicans drop millionaire's tax hike in Trump's tax legislation
House Republicans have dropped plans for a new millionaire's tax hike to pay for other priorities in President Donald Trump's tax legislation. The legislation includes no taxes on tipped and overtime wages, tax cuts on seniors' Social Security, and raising the debt limit by $4 trillion.
Key Points
- Legislation released by the House's tax-writing panel
- Temporary increase in standard tax deduction for seniors
- Using AI software to identify and root out improper Medicare payments
Pros
- Permanently extending Trump's 2017 Tax Cuts and Jobs Act
- No taxes on tipped and overtime wages
- Tax cuts on seniors' Social Security
- Raising the debt limit by $4 trillion
Cons
- Absence of a new tax bracket for people making $2.5 million per year or more
- Reduction in tax breaks for professional sports team owners