Trump’s budget bill will affect all aspects of the economy
The budget bill passed and signed the law touches on the lives of all Americans in one way or another. Will you get better or worse?
After pushing forward the sweeping package of tax cuts for his megaville, which was signed into law earlier this month, President Donald Trump is now looking at another potential tax cut for home sellers.
Trump said on July 22 that his administration is considering eliminating capital gains taxes collected when a home is sold above the previous purchase price.
“We don’t think there’s any tax on the capital gains of our home,” Trump said at an oval office meeting with the Philippine president.
Trump, a wealthy property developer with extensive real estate holdings, did not elaborate on his proposal, and the White House did not immediately answer questions.
On July 4, Trump signed measures that extended the 2017 tax cuts and included new tax cuts, including tip wages, overtime salaries and car loans. The law also cuts spending on the Medicaid health insurance program for low-income Americans and lifts the country’s looming debt cap. The measure is expected to increase federal debt by $3.4 trillion over a decade, according to the Congressional Budget Office.
Trump cannot turn his proposal for the housing market into reality himself. Additional legislation is required to reduce taxes on home sales. This also happens as the president has long pushed Federal Reserve Chairman Jerome Powell to lower interest rates.
“If the Fed cuts the fees, we don’t need to do that,” Trump said of the housing sales tax potential.
In general, the Fed will cut interest rates and stimulate the flag’s economy and job market. They raise interest rates or maintain them for longer to reduce inflation and prevent price spikes.
Powell warned in April about the impact of Trump’s tariffs on inflation, telling Chicago’s economic clubs that “unemployment is likely to increase as the economy slows down, and inflation could rise as they find their way, and some of those tariffs will be paid by the public.”
Contributor: Paul Davidson
