Trump’s 2017 tax cuts on track to be extended

The 2017 Tax and Tax law, which is the cornerstone of President Donald Trump’s first state that will end at the end of the year, is on the way to revival.

“I hope we will have a signed and sealed tax bill by 4 July that would give a great guarantee to American companies and the American consumer, and we offer a real driving force for the American economy, just as the tax bill did in 2018, 2019, and even during Covid, US Treasury Secretary Scott Bessent said during an interview with Fox Progination” on Tuesday.

Senate and House of Representatives work in “Lockstep” to clarify the details. parliament Speaker Mike Johnson was originally hoping for the deadline of the memorial day, but he was comfortable with progress.

“I think it will send a very important signal to the bond markets, the stock market, for investors and job creators here and around the world, and will send a message to our allies and enemies that America is dangerous. We have settled in the tax policy.

10 years of treasury and stocks

Treasury yield for 10 years, which has seen severe upward fluctuations, has decreased to 4.158 %. A sign that interest rates can be reduced. The Federal Reserve will hold its next meeting on May 7, and there is no change in prices, according to the Fedwatch tool for the CME.

While the S&P 500, the largest scale for the stock market, decreased by 6 % of the year. However, it came out of its correction, a decrease of 10 % of the highest level last week.

The updated bill may include some reward provisions.

The interest of the auto loan is discount

“One of him [Trump’s] Programs are to obtain an interest on auto loans for cars made in America, both new and used, tax exempt, “added Bessent.

The average annual percentage of the new percentage of the new car was 7.1 % in the first quarter, according to Edmonds. With the average loan period for new vehicles of 69.5 months, the car buyer is likely to be a hook for a monthly payment of $ 741.

Extensive manufacturing expenses

Another element expands expenses for manufacturers, which currently only includes equipment. “What we will add to that is 100 % expenditures for factories. So you will be able to calculate both equipment and structure,” note BESSENT.

American manufacturers, who are competing with China and other foreign countries, have been in support of the extension and/or making the current tax cuts for the current year 2017.

“The tax reforms of 2017 that President Trump had already announced at our board meeting in 2017, and when he said that it would be missile fuel for the economy, if it was over, it was already. These tax reforms led to the registration of investment, the creation of job opportunities and wage growth for a period of three years in a row after it was enact.

Nearly 6 million jobs will be lost if the discounts expire, according to a study conducted by the company NAM recently.

American jobs, $ 1.1T $ in GDP if Congress allows tax discounts in Trump: study

The US economy will face $ 540 billion of lost wages and a shortage of GDP 1.089 trillion dollars if the provisions of the tax law and the remaining jobs end. In addition, if Congress does not maintain reforms, 1.137 million jobs in manufacturing, 126 billion dollars in compensation for manufacturing workers, and $ 284 billion in the manufacture of gross domestic product, on the line.

The American economy shows signs of procrastination. The first reading has decreased on 1Q GDP by 0.3 %, the first shrinking since 2022. Two successive contractions will indicate an official recession.

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Fox News Daniel Wallace contributed to this report.