Former U.S. President Donald Trump has reportedly indicated that if he regains the presidency in this year's election, he will consider introducing tax cut policies for the middle class. Analysts view this as a strategy to win the votes of the middle class, which makes up half of the American population.
According to major foreign media on the 17th (local time), Trump recently conveyed this stance to his economic advisory team. A source familiar with the matter stated, "The middle-class tax cut plan broadly includes the middle class."
The middle-class tax cut plan is said to include reductions in federal payroll taxes, increases in the standard deduction, and cuts to marginal income tax rates. However, criticism is expected that it could worsen the chronic fiscal deficit of the U.S. federal government. The federal government's debt has reached a record high of $34 trillion.
In particular, if federal payroll taxes are reduced, concerns may be raised within the Democratic Party about potential funding shortages for social security funds and other programs. In 2020, the first year of the COVID-19 pandemic, Trump proposed a federal payroll tax cut, but the administration did not accept it and only provided an option to defer payroll tax payments.
Currently, conservative economists such as Stephen Moore and Larry Kudlow, former chairs of the White House National Economic Council (NEC), are reportedly involved in discussions on Trump's middle-class tax cut plan.
In this election campaign, former President Trump has emphasized various tax cut policy pledges, including lowering the corporate tax rate. This contrasts with President Joe Biden, who is set for a rematch with Trump in this election.
Caroline Libby, spokesperson for the Trump campaign, said, "If former President Trump returns to the White House, he will advocate for tax cut policies for Americans."
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