The government on Tuesday is expected to announce its plan to end a series of “fiscal cliffs” that have slashed taxes on the wealthy and businesses for the past few years.
The $19 trillion deal includes a reduction in the top tax rate for high-income earners from 39.6 percent to 37 percent and a $10,000 tax credit for families making less than $200,000.
The deal also calls for the elimination of the estate tax and a reduction for those making more than $2 million a year.
But some Republicans are concerned the deal is too generous to middle-class families and would have to be cut further in the future.
Sen. Bob Corker Robert (Bob) Phillips CorkerTrump and Dems need to ‘do more’ to save Obamacare Senate GOP adds ‘new layer’ of challenges on GOP agenda MORE (R-Tenn.) said in a statement Tuesday that he will not support the bill if it does not include $4 trillion in revenue to pay for a massive increase in the debt.
“The $4 Trillion in tax cuts for the wealthy are not going to get paid for, and that is why I will not vote for this bill,” Corker said in the statement.
“We can’t afford another fiscal cliff, and there will be more to pay down the debt over time.”
House Speaker Paul Ryan Paul Davis RyanBlue wave?
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“I will be voting for the Ryan plan, because the American people want it,” Ryan said on Fox News Tuesday morning.
“And it will get us out of this fiscal cliff.”
Democrats have urged Ryan to vote for the measure, arguing that it would help the middle class and pay down America’s $19.2 trillion debt.
But Republicans say the plan does not go far enough.
The plan would also allow the government to borrow money at a lower interest rate than it currently pays on debt.
That means the government could borrow $1.7 trillion in the next 10 years, including $1 trillion more than it is currently owed.
“There’s a $1 billion hole in the plan that’s just sitting there, and I think it’s time for Republicans to get it out,” Rep. Jeb Hensarling (R) of Texas told reporters Tuesday morning on Fox.
“If we don’t get the $1B hole out in the budget, the bill will go down and the government will have no money to pay it back.”
Rep. Scott Rigell Scott (Scott) ScottVogel: Republicans must be willing to cut the tax breaks for millionaires in the ‘federal government’ Vogel is a Trump loyalist who supports Trump’s Cabinet pick Scott Rigel: Dems are trying to get Trump’s tax returns out of the hands of Trump voters.
But Ryan said he believes the debt-ceiling debate should be moved to the top of the agenda.
“We need to get the conversation back to the debt ceiling,” Ryan told reporters on Tuesday morning.
“We have to get on the debt, and it’s a big part of our agenda, and we’re going to do that.”
Democrats are also calling on Ryan to include $1 to $2 trillion in tax increases in the bill, but they say the legislation does not offer enough revenue to make up for the tax cuts and other provisions that they say are necessary to make the tax system work better for everyone.
Rep. Keith Ellison Keith Stuart EllisonDems, Trump: Democrats ‘trying to get us to pay back debt’ | Dems push for more tax reform on top of debt-limit extension | Senate Dems vote to reopen debt limit after ‘repeal and replace’ bill | Ryan says GOP is ‘going to fight’ over tax increases | Ryan calls for more spending to pay the debt | House Dems plan to vote on debt limit bill MORE of Minnesota said Tuesday that the GOP tax plan is “not a big deal” when it comes to how much money it will raise.
“If we’re talking about raising revenue, we’re not talking about a $200 billion bill,” Ellison said on MSNBC.
“That’s not what this is about.”
But Rep. Steve Cohen Steve Frederick CohenBiden: ‘It’s not a big issue’ if Trump keeps making ‘big promises’ | White House responds to Biden tweet: Trump should take off the gloves | Biden on Biden tweet Biden to campaign for Trump as ‘presidential’ on MondayThe White House on Monday said President Donald Trump Donald John TrumpTrump: Dems must be prepared to ‘pay the price’ for the ‘greed and recklessness’ that led to the ‘Covfefe’ crisisWhite House press secretary: Trump’s ‘gut instinct’ on Charlottesville is ‘