(TheProudRepublic.com) – Keeping senior American citizens’ well-being in mind, former President Donald Trump pushed the idea of eliminating the tax seniors pay on their Social Security (SS) checks.
He posted on Truth Social, “SENIORS SHOULD NOT PAY TAX ON SOCIAL SECURITY!”
This taxation on Social Security benefits was originally established by former President Ronald Reagan in 1983 as part of a bipartisan effort to ensure the program’s financial stability.
Currently, the Social Security Administration (SSA) reports that individuals with total income between $25,000 and $34,000 can have up to 50% of their SS benefits taxed, and those earning more than $34,000 can have up to 85% taxed.
Earlier this year, Trump sparked discussion within the Republican Party when he proposed ending the taxation on tips, inspired by a conversation with a waitress in Nevada. He shared this anecdote at the Republican National Convention (RNC) in Milwaukee, detailing his rationale for the proposal.
During his presidency, Trump considered cutting payroll taxes, which are crucial for funding Social Security, but ultimately decided on allowing tax deferrals. He has indicated a willingness to reconsider this policy should he win another term in the White House.
Influenced in part by Trump’s directives, the GOP recently reaffirmed its stance in its platform, opposing any cuts to Medicare or Social Security and rejecting any increase in the retirement age. This platform was adopted earlier this month and it commits to not reducing entitlement programs by “a single penny.”
However, financial forecasts are concerning. The Congressional Budget Office (CBO) and other organizations have warned that without legislative intervention, the Social Security and Medicare trust funds will be depleted by the mid-2030s, leading to an automatic reduction of 21% in Social Security benefits and 11% in Medicare Part A benefits.
Moreover, Trump’s policy suggestions do not stop at Social Security, as he also proposed reducing the corporate tax rate from 21% to 15%, echoing his 2016 campaign promises.
Despite these ambitions for further tax reductions, they might face hurdles due to fiscal concerns. The CBO has projected that the national deficit for the fiscal year 2024 will reach $1.9 trillion.
Copyright 2024, TheProudRepublic.com