WASHINGTON, D.C.: President-elect Donald Trump and congressional Republicans are laying the groundwork for an aggressive 100-day legislative agenda aimed at reshaping the nation’s tax code, curbing safety net programs, and rolling back key elements of President Joe Biden’s policies.
The GOP’s top priority is renewing and expanding the US$4 trillion in tax cuts implemented during Trump’s first term. These cuts, which have become a signature Republican achievement, are set to expire in 2025.
The party aims to make them permanent features of the tax code, adding provisions such as reducing the corporate tax rate from 21 percent to 15 percent and eliminating taxes on tips and overtime pay.
“What we’re focused on right now is being ready, Day 1,” said House Majority Leader Steve Scalise, R-La., as Republicans strategize for the incoming administration.
Critics argue that the tax cuts disproportionately benefit the wealthy, with the top 1 percent seeing substantial gains. Lindsay Owens, executive director of the Groundwork Collaborative, highlighted that “the big economic story in the U.S. is soaring income inequality,” tying it directly to these tax policies.
However, Avik Roy, president of the Foundation for Research on Equal Opportunity, countered, saying, “Americans don’t care if Elon Musk is rich. What they care about is, what are you doing to make their lives better?”
Renewing the tax cuts is not without fiscal challenges. Extending the expiring provisions could add $4 trillion to the federal deficit over a decade, according to the Congressional Budget Office. Republicans argue that the tax cuts will stimulate economic growth and pay for themselves, with some pointing to Trump’s proposed tariffs as an additional revenue source.
Beyond taxes, Republicans are targeting safety net programs like food stamps and COVID-19-era health care subsidies. The extended health care subsidies under the Affordable Care Act, set to expire in 2025, are likely to be rolled back, along with green energy tax incentives passed under Biden’s Inflation Reduction Act.
Democrats, however, are pushing back. House Democratic leader Hakeem Jeffries dismissed the GOP’s claim of a sweeping mandate, noting that the midterm election results were far from a decisive victory. “This notion about some mandate to make massive, far-right extreme policy changes, it doesn’t exist,” he said.
Republicans plan to use budget reconciliation, a process that allows legislation to pass with a simple majority in the Senate, bypassing the filibuster. Democrats used this tool to pass major initiatives like the Inflation Reduction Act and Obamacare.
Despite their ambitions, Trump and the GOP face a familiar challenge: uniting their caucus and navigating Democratic resistance. Yet, House Speaker Mike Johnson, R-La., pledged a rapid legislative pace, promising a “breakneck” first 100 days.
