Print      
Administration’s tax plan on way soon, Mnuchin says
By Martin Crutsinger
Associated press

Treasury Secretary Steven Mnuchin said Friday that after the initial congressional battle over health care, the administration plans to turn quickly to tax reform with the goal of getting a program approved by Congress by August.

‘‘Health care is a very complicated issue,’’ Mnuchin said. ‘‘In a way, tax reform is a lot simpler.’’

Mnuchin said he has been overseeing work on the administration’s bill over the past two months and it would be introduced soon. He said one proposal would cover cutting individual and corporate taxes in the same legislation.

He said the goal was to win congressional approval of the tax measure by August.

At the White House, press secretary Sean Spicer acknowledged the August deadline is an ‘‘ambitious one’’ for such a complicated project, but said it’s a goal the administration ‘‘is going to try to stick to.’’

Mnuchin did not reveal whether the administration will include a contentious border adjustment tax that is in a House tax proposal. The measure, which would impose a 20 percent tax on imports, has positive and negative features, Mnuchin said. He also would not reveal exactly what corporate tax rate the administration would propose, other than it will be ‘‘a lot lower’’ than the current 35 percent rate.

In an interview event with the news site Axios, Mnuchin said President Trump’s proposal to boost infrastructure spending would probably include $100 billion to $200 billion in federal money and depend on public-private partnerships to boost the total to $1 trillion over the next decade.

Mnuchin was asked whether the administration’s tax plan would lower rates at all levels but not include an absolute tax cut for high income individuals because the lower rates for the wealthy would be offset by increases in other areas such as reduced deductions.

Mnuchin did not commit specifically on the goal but said, ‘‘The president’s objective is a middle income tax cut. ... Our primary focus in a tax cut for the middle income [earners] and not the top.’’

He predicted Trump’s plan would achieve economic growth of 3 percent to 3.5 percent, up significantly from anemic growth around 2 percent seen in the current recovery, the weakest in the post-World War II period.