White House Economic Adviser Larry Kudlow credited the Trump administration’s economic and relief policies with helping the U.S. economy rebound from a coronavirus-induced recession that began in February – and he said more tax relief is on the way if the president is reelected.
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During the second night of the Republican National Convention on Tuesday, Kudlow said U.S. economic health is “coming back” and Americans are going back to work thanks to emergency spending measures and tax cuts.
“Now, looking ahead, more tax cuts and regulatory roll back will be in store – payroll tax cuts for higher wages, income tax cuts for the middle class, capital gains tax cuts for investment, productivity and jobs,” Kudlow said.
While Trump issued an executive action for the payroll tax deferral – scheduled to begin next month – Kudlow has said he will turn that into a permanent cut by forgiving deferred payments next year.
As previously reported by FOX Business, further middle-class income tax cuts have been discussed by the administration. Kudlow has mentioned a 15 percent tax rate for the middle class, which could save some Americans a lot of money.
Trump has also been open about his desire to reduce capital gains taxes, which are paid on the difference between what an individual originally paid for a property or investment vs. what it sells for at the time it is sold.
The current top capital gains rate sits at 23.8 percent. Trump has said he would consider a rate as low as 15 percent.
While the White House economic adviser said Trump wanted to continue cutting taxes and eliminating regulations, he criticized former Vice President Joe Biden for plans to implement a “$4 trillion tax hike” as the economy emerges from a deep recession.
“Who in their right mind would pick the pocket of taxpayers and drain money from their wallets and purses?” Kudlow asked.
In response to Biden’s tax plan, which would raise rates on people earning more than $400,000, Kudlow said during an interview with Fox News that he did not want to raise rate for anybody – and neither does the president.
Kudlow also said Biden would have to raise rates on the middle-class to pay for his spending agenda, because his plans just don’t “add up.”