Trump goaded Democrats to work with him on infrastructure in the aftermath of a massive tax package estimated to add at least $1 trillion to the debt.
In a morning tweet before departing for the holidays, Trump said, “I predict we will start working with the Democrats in a bipartisan fashion” and that “infrastructure would be a perfect place to start.”
At some point, and for the good of the country, I predict we will start working with the Democrats in a Bipartisan fashion. Infrastructure would be a perfect place to start. After having foolishly spent $7 trillion in the Middle East, it is time to start rebuilding our country!
On Wednesday, Trump declared victory after Republicans in Congress passed a tax bill that will affect almost every American household. Republicans are predicting the package – consisting of a permanent rate reduction for corporations and temporary tax cuts for individuals – will spur further growth and business investment.
He is departing to his Mar-a-Lago Florida estate for the holiday season, while it’s unclear exactly when he’ll sign the GOP congressional tax deal into law.
More: Podcast: After the celebrations, what’s next for the tax bill?
Democrats say the bill, estimated to add to the national debt by more than a $1 trillion over the next decade, leaves the U.S. with few options for addressing major priorities, including struggling public schools, increasing mortality due to an opioid crisis and social safety net programs– let alone a major infrastructure package.
Previously, Democrats and some Republicans had floated the idea of using repatriated corporate profits, or earnings brought back from overseas, to upgrade the nation’s crumbling roads and dilapidated mass transit systems. Yet the tax package Trump is about to sign allows corporations to repatriate an estimated $3 trillion in overseas cash – but applied that expected windfall to offset lower tax rates.
According to the nonpartisan Tax Policy Center, the largest cuts as a share of income in the overall tax plan will go to taxpayers in the 95th to 99th percentiles of all earners. In 2018, taxes would be reduced by about $1,600 on average.
Further straining the national purse, Congress just approved emergency disaster aid bills totaling $15 billion in September, $36.5 billion in October, and this week is arguing over adding another $81 billion to address California wildfires and Hurricanes Harvey, Irma and Maria. Barring any last minute decision to pay for it, that spending will be added to the 2018 deficit.
More: Deficit could hit $1 trillion in 2018, and that’s before the full impact of tax cuts
More: Trump declares victory as tax bill passes: ‘It’s always a lot of fun when you win’