Make us your home page
Instagram

Today’s top headlines delivered to you daily.

(View our Privacy Policy)

Trump turns back to tax overhaul; pitch aimed at truckers

President Donald Trump listens as former Secretary of State Henry Kissinger speaks during a meeting in the Oval Office of the White House, Tuesday, Oct. 10, 2017, in Washington. [Associated Press]

President Donald Trump listens as former Secretary of State Henry Kissinger speaks during a meeting in the Oval Office of the White House, Tuesday, Oct. 10, 2017, in Washington. [Associated Press]

WASHINGTON — After days dominated by friction with his secretary of state and a Republican senator, President Donald Trump is turning to his top legislative priority, using a Pennsylvania visit to pitch his tax overhaul as a boon for truckers.

Trump speech in Harrisburg was to be set against a backdrop of big rigs, with lots of truckers in attendance, according to the White House. The president has been traveling the country to promote a plan that would dramatically cut corporate tax rates from 35 percent to 20 percent, reduce the number of personal income tax brackets and boost the standard deduction.

At his latest stop, Trump planned to argue that his tax reform framework would benefit truckers by lowering their tax rates, boosting manufacturing, and making it easier for families to pass their trucking businesses on to their children.

"When your trucks are moving, America is growing. That is why my administration is taking historic steps to remove the barriers that slow you down," Trump said in prepared excerpts released by the White House. "America first means putting American truckers first."

Trump is diving back into the tax fight after weeks in which his attention has shifted to rapidly emerging crises — including the mas shooting in Las Vegas and the hurricane recovery effort in Puerto Rico — as well as dramas of his own making, such as his escalating feud with Sen. Bob Corker, R-Tenn., and public tension with Secretary of State Rex TIllerson.

Taxes are the chief legislative priority for Republicans hungry for a major legislative achievement. With the 2018 campaign year looming, GOP lawmakers want something to show for their time as the majority party, and tax legislation remains their best hope.

Trump has left it up to Congress to fill in many specifics of his plan, which omits details such as the income levels for his new tax brackets.

Republicans in Congress aren't solidly behind him, with some from high-tax states balking because the framework calls for eliminating the federal deduction for state and local taxes. That deduction is claimed by an estimated 44 million people and costs the government an estimated $1.3 trillion in lost revenue over 10 years.

Fractious Republican lawmakers, especially those from New York, New Jersey and California, are wary of the potential financial hit to their constituents. They contend repealing the deduction would subject people to being taxed twice.

"They need our votes" on the tax plan, said Rep. Chris Collins, R-N.J., a member of the group.

Discussions with House leaders on a possible compromise took place last week but are on hold, Collins and other lawmakers in the group said Wednesday. They said they were confident of a compromise.

Trump planned to highlight the tax plan's provisions aimed at encouraging international companies to bring back, or repatriate, cash that they've kept overseas. All told, there's more than $1 trillion in cash held abroad by S&P 500 companies, according to Deutsche Bank.

"We will eliminate the penalty on returning future earnings back to the United States and we will impose a one-time low tax on money currently parked overseas so it can be brought back home to America, where it belongs," Trump said in the prepared excerpts. He added that his Council of Economic Advisers estimates that the change "would likely give the typical American household a $4,000 pay raise."

The $4,000 in additional income estimate comes from a back of the envelope calculation by White House economics adviser Kevin Hassett based on companies returning 71 percent of their foreign profits over the course of eight years.

This estimate appears to assume that the returned profits would flow to workers in the form of higher wages. But many economists say much of it would likely be returned to investors in the form of stock dividends and buybacks.

Trump turns back to tax overhaul; pitch aimed at truckers 10/11/17 [Last modified: Wednesday, October 11, 2017 1:30pm]
Photo reprints | Article reprints

Copyright: For copyright information, please check with the distributor of this item, Associated Press.
    

Join the discussion: Click to view comments, add yours

Loading...
  1. Review: Faith Hill and Tim McGraw shower love, star power on Tampa's Amalie Arena

    Blogs

    Near the end of their potent new duet Break First, Tim McGraw stopped singing, and let Faith Hill's powerhouse voice take over.

    Faith Hill and Tim McGraw performed at Amalie Arena in Tampa on Oct. 20, 2017.
  2. Senate to take up AUMF debate as Trump defends reaction to Niger attack

    World

    WASHINGTON — The Senate Foreign Relations Committee is taking up a long-awaited debate about authorizing military force against the Islamic State as President Trump comes under unprecedented public scrutiny for his treatment of dead soldiers' families, following an ambush on troops helping to fight Islamic …

  3. In fear and vigilance, a Tampa neighborhood holds its breath

    K12

    TAMPA — There was a time, not long ago, when Wayne Capaz would go for a stroll at night and Christina Rodriguez would shop whenever she wanted. Michael Fuller would go to his night job as a line cook, not too worried about his wife at home.

    More than 50 people gathered and walked in the Southeast Seminole Heights community Friday to pay respects to the victims of three shootings. The crowd took a moment of silence at the corner of 11th Street and East New Orleans where Monica Hoffa was found dead. [JONATHAN CAPRIEL  |  Times]
  4. Fennelly: What's not to like about Lightning's start?

    Lightning Strikes

    BRANDON — No one is engraving the Stanley Cup. No one has begun stuffing the league MVP ballot box for Nikita Kucherov.

    The Lightning, with a win tonight, would match the best start in franchise history, 7-1-1 in the 2003-04 Cup season.
  5. Study: Pollution kills 9 million a year, costs $4.6 trillion

    World

    NEW DELHI — Environmental pollution — from filthy air to contaminated water — is killing more people every year than all war and violence in the world. More than smoking, hunger or natural disasters. More than AIDS, tuberculosis and malaria combined.

    New Delhi’s landmark India Gate, a war memorial, is engulfed in morning smog on Friday.