Trump backs House GOP tax bill

Trump backs House GOP tax bill
© Greg Nash

President Trump on Thursday expressed support for the new House Republican tax bill, praising lawmakers for “another important step toward providing massive tax relief for the American people.”

Trump said that while there is “much work left to do,” the administration would “deliver historic tax cuts and reforms — the rocket fuel our economy needs to soar higher than ever before.”

“The special interests will distort the facts, the lobbyists will try to save their special deals, and some in the media will unfairly report on our efforts,” Trump said in a statement released shortly after Republicans unveiled their proposal. “But my Administration will work tirelessly to make good on our promise to the working people.”

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Soon after Trump’s statement, White House National Economic Council Director Gary CohnGary David CohnOn The Money: Senate rejects border declaration in rebuke to Trump | Dems press Mnuchin on Trump tax returns | Waters says Wells Fargo should fire its CEO Gary Cohn says Trump trade adviser the only economist in world who believes in tariffs Hillicon Valley: Google takes heat at privacy hearing | 2020 Dems to debate 'monopoly power' | GOP rips net neutrality bill | Warren throws down gauntlet over big tech | New scrutiny for Trump over AT&T merger MORE said Trump “can support” the House GOP plan released Thursday morning.

"We had to deliver a middle-income tax cut. Number two, we had to lower the business tax rate to make us competitive with the rest of the world," Cohn said. "The bill that the House delivered today accomplished both of those objectives."

Called the Tax Cuts and Jobs Act, the 429-page bill is first legislative step in the GOP's efforts to rewrite the tax code for the first time since 1986.

The House GOP tax plan would consolidate the current seven brackets to four, with the top tax rate staying at 39.6 percent. The other individual rates in the bill are 12 percent, 25 percent and 35 percent.

The standard deduction would be nearly doubled, and the bill also creates a $300 credit for expenses related to the care of parents and non-child dependents. The bill preserves the child and dependent care credit and the earned income tax credit.