TOPLINE
White House advisers on Sunday reversed President Trump’s statement that he would make ‘permanent cuts’ to the tax bill if re-elected, insisting the president retain the primary source of funding for Social Security, a law program with overwhelming bipartisan support.
WASHINGTON, DC – APRIL 22, 2018: An American flag flies over the south facade of the White House … [+]
KEY FACTS
Trump announced a payroll tax hike as one of four executive actions in an attempt to cut the deadlock between congressional Democrats and Republicans and the White House over incentive negotiations.
In a speech announcing the actions at his golf resort in Bedminster, NJ, on Saturday, Trump also announced, “As victories on November 3, I plan to forgive these taxes and make permanent cuts to the tax bill,” I added. they will make them all permanent. “
Trump’s announcement was further taken by Erin Perrine, a senior adviser to his reelection campaign, who tweeted that Trump in the second term “will look at ending the tax cuts permanently.”
But those announcements drew fast and furious condemnation of liberals, who were fast note that the tax funds fund Social Security and Medicare, broadly popular programs whose defunction would undoubtedly harm Trump’s policies.
White House economic adviser Larry Kudlow claimed on CNNs State of the Union that Trump will protect “Social Security and Medicare,” “claiming that the proposal, not a tax cut, is something” made permanent. It will be forgiven, “what CNN host Dana Bash claimed” is not what the president said though. “
Treasury Secretary Steven Mnuchin said op Fox News Sunday that Trump, if re-elected, would “push through legislation” to forgive that, in essence, it would be turned into a tax cut, “and the lost revenue would be offset by” an automatic contribution from the general public. fund to those trust funds. ”
Chief critic
“Here’s the problem: payroll taxes go exclusively for Medicare and Social Security funding. No matter how often they dislike that tax, Republicans have always opposed replacing them with general tax revenue,” he said. tweeted Patrick Chovanec, an adjunct professor of international and public affairs at Columbia University. He notes that even with Congress signing up for a tax break, it would “make a hole” in funding Medicare and Social Security, which Republicans would normally be reluctant to fill. “Without a registered Congress, these taxes will simply be postponed for a few months until a major bill comes along,” Chovanec concludes.
Crucial quote
“Democrats will destroy your social security,” Trump said tweeted in January, adding “I have, as promised, completely abandoned it and will save it!” His campaign has stuck to that line, even when former Vice President Joe Biden accused Trump of a “reckless war against Social Security” with his executive action. “Sign of despair for Joe Biden to bring Social Security in response to President Trump’s EOs. This is not a topic he wants to address, “he said. tweeted Andrew Clark, director of the Trump campaign’s quick response, linked to a tweetje accusing Biden of having a “terrible record” about Social Security.
Large number
74%. A Pew Research poll in March 2019 followed overwhelming public support for maintaining current levels of funding to Social Security. 74% of American adults surveyed “no reduction should be made” in social security benefits for retirees, with the strongest support coming, unsurprisingly, from older voters. 81% of voters aged 50 to 64 and 79% of voters 65 or older said they would oppose austerity measures, as did 68% of Republican voters.
What to see
Asked by Fox News host Chris Wallace how the US would pay for social security through the general fund if the nation is already “running an enormous deficit,” Mnuchin said these concerns need to be addressed in the future. “You just have a transfer from the general fund,” he stated. “We will deal with the budget deficit if we get the economy back to where it was before.”
