Bloomberg reported on April 29 that U.S. Treasury Secretary Scott Becent revealed that the U.S. government is striving to push Congress to pass a trillion-dollar tax cut proposed by Trump by July 4. Current polls show that most voters have negative comments on the effectiveness of White House economic governance.

According to the legislative process arrangement, House Speaker Mike Johnson plans to complete the voting process for the tax reform bill in the House by the end of May, and the Senate vote is expected to be postponed until August. To speed up the legislative process, the Republican Party has passed a budget resolution that will adopt a rapid legislative process to promote tax reform without seeking Democratic support. It is worth noting that the tax cut bill implemented by Trump's first term is about to expire at the end of the year.

The program plans to continue the current tax cut policy and introduce new tax cut clauses. Becente specifically stated that the bill will add tax deduction incentives for local plant construction costs in the United States. Kevin Hassett, director of the National Economic Commission, made it clear that this tax reform plan will not include the tax increase clause for millionaires. Although Trump himself has publicly expressed his interest in such policies, it was ultimately not adopted due to political risk considerations.

Bescente pointed out that thanks to year-on-year growth in federal tax revenue, the time when the federal government hit the debt ceiling may be delayed than expected. The Ministry of Finance will announce a specific default risk schedule this week or next week. The Congressional Budget Office previously issued an early warning that if federal fiscal revenue falls below expectations, government funds may dry up as early as May and may be delayed until August-September at the latest. (International Financial News)