Could a payroll tax cut be a Trojan horse to undercut Social Security and Medicare?
Trump Demands Payroll Tax Cut For Next Stimulus Bill
President Trump has thrown an unnecessary wrench into the next coronavirus stimulus package negotiations by demanding that it include a payroll tax cut. Earlier in the week, his advisor, Stephen Moore, foreshadowed Trump’s red-line. “High-ranking White House officials have told me that we will not sign a phase four deal without a payroll tax cut,” Stephen Moore, a White House economic adviser, told The Washington Post. “I have talked to several high-level people in the White House who said the president will not sign [the legislation] if it does not include a payroll tax cut.” Trump confirmed this view, although in his usual equivocal way, during an interview with Chris Wallace, saying, “I would consider not signing it if we don’t have a payroll tax cut.”
Payroll Tax Cut Are Effective, But Not Against Coronavirus Crisis
Republicans and Democrats alike have been lukewarm on a payroll tax holiday and for good reason. It’s an ineffective, policy tool that isn’t well suited for the current crisis. Continue reading.