Rightwing News

Rightwing editors curate, summarize and fact checks the day’s hottest news and views giving people a source of real American news that’s easier to trust.

Dems Block Payroll Tax Cut – For Now

Dems Block Payroll Tax Cut - For Now

(RightWing.org) – American workers and businesses could have been looking forward to a welcome tax cut in the next few weeks – but now they’ll be missing out on that. It seems Democrats were set to block the next coronavirus stimulus package if tax reductions were included. President Trump isn’t giving up, though – there are already hints of a fifth stimulus bill, and another chance to let us keep more of our money.

Highlights

President Trump revealed today that the fourth coronavirus stimulus bill won’t include the cut in payroll taxes he’s been pushing for.

  • In a tweet sent Thursday, President Trump said that the Democrats have made it clear they won’t approve a cut in payroll taxes as part of the nation’s latest bailout package. As a result, to make sure the bill goes through, Republicans decided not to push for it.

  • Treasury Secretary Steve Mnuchin confirmed that the tax cut won’t be included in a briefing to reporters. He said that the administration has now finalized the appropriations for the bill, and the priority is getting money to workers right now.
  • According to Mnuchin, a move on a payroll tax “takes time” – but it’s not clear if he meant the time required to actually implement the cuts, or to force it past left-wing opposition.
  • The president has been pushing for a reduction in the taxes since March, saying it would give businesses an incentive to keep workers on the books as well as giving employees more money to spend.
  • However, the Democrats have repeatedly obstructed the move. Instead, they want to spend money on free tests and expanded government handouts to the unemployed.
  • While conceding that the tax cuts won’t happen in this round of stimulus spending – estimated at being worth $1 trillion to the US economy – Mnuchin hinted strongly that the administration will return to the issue. “We’re gonna come back again,” he said. “You know, there may be a CARES 5.0. The president, again, is focused on money and American workers and American pockets right now.”

Copyright 2020, RightWing.org