Brian Faler
Updated
President Donald Trump’s signature tax breaks for tips, overtime, seniors and car-loan interest were only the beginning.
Special carveouts for regular Americans are suddenly all the rage in Congress, with lawmakers in both parties proposing new tax cuts for cops, farmers, homebuyers, striking workers and businesses selling New Jersey swag.
Many are closely modeled after the president’s provisions, down to bill names like “No Tax on Boat Loan Interest,” “No Taxes on Utility Bills,” and “No Tax on Health Care.”
“Must be an election year,” said Rep. David Schweikert (R-Ariz.), a retiring tax writer.
Targeted tax breaks are nothing new, but Trump has breathed new life into the genre — animating all sides in the process.
Conservatives are dismayed at their party abandoning the mantra of lowering rates while widening the tax base in favor of what many see as little more than earmarks that clutter the tax code. Progressives worry the proposals will sponge up scarce dollars they’d rather spend on priorities like expanding health coverage. And deficit hawks across the political spectrum don’t want to further shrink the tax base when the government is running a $2 trillion deficit.