US President Donald Trump plans to announce in the next few weeks the most ambitious tax reform plan since the Reagan era, according to the White House.
During a meeting with airline executives on Thurday, Trump promised a “phenomenal” tax plan, comments that sent stock prices and the dollar higher overnight, Reuters reports.
The president, however, offered no specifics other than citing the need to a lower tax burden on businesses, the report said.
“That’s coming along very well. We’re way ahead of schedule,” Trump was quoted as saying. “We’re going to be announcing something I would say over the next two or three weeks that will be phenomenal in terms of tax and developing our aviation infrastructure.”
White House spokesman Sean Spicer later told reporters that Trump would unveil a comprehensive tax plan including tax cuts for individuals as well as businesses.
Under US law, only Congress can substantively change the tax code, which has not been overhauled thoroughly since 1986. Tax legislation must begin in the House of Representatives.
Both US political parties generally agree on the need for tax reform, but action has been stymied by the complexity of the code which is riddled with loopholes.
Spicer said the administration plans “a comprehensive plan, something we haven’t seen since 1986 … It’s going to recognize the need to give so many working Americans the relief that they need.”
“What he wants to do is create a tax climate that not only keeps jobs here but incentivizes companies to want to come here, to grow here, to create jobs here, to bring their profits back here.”
During the election campaign last year, Trump pledged to cut the US business tax rate from to 15 percent from 35 percent.
– Contact us at [email protected]