U.S. President Donald Trump said Friday he supports raising taxes on high earners if it means deeper cuts for middle- and lower-income Americans. While speaking from the Oval Office, Trump framed the move as a “redistribution” strategy and confirmed he would be willing to pay more taxes himself.
Trump’s comments come amid ongoing Republican negotiations over a $4 trillion tax cut package, a scaled-back version of the original $4.5 trillion proposal. House Speaker Mike Johnson is facing pressure to find spending offsets to make Trump’s 2017 tax cuts permanent. However, divisions remain within the GOP. Senate Republican leader John Thune expressed resistance, saying, “We don’t want to raise taxes on anybody.”
Despite internal pushback, Trump has urged Johnson to close the carried-interest loophole and raise the top individual tax rate from 37% to 39.6% for individuals earning $2.5 million or more, or $5 million for joint filers. Carve-outs for small businesses are reportedly under consideration.
The proposal could help pay for sweeping tax breaks aimed at the working class, along with Trump’s broader agenda that includes extending tax cuts, boosting defense spending, deregulating energy, and enhancing border security. Representative Andy Harris of the House Freedom Caucus echoed Trump’s stance, suggesting the reinstatement of pre-2017 tax brackets for millionaires.
Trump warned that Democrats could use any tax hike against Republicans, referencing President George H.W. Bush’s failed re-election after breaking a tax promise. Still, Trump believes the move is “good politics,” especially amid rising concerns over how to fund his “big, beautiful” tax bill without deep cuts to programs like Medicaid.
As Republicans weigh their options, Trump’s stance signals a shift in conservative tax policy ahead of the 2025 elections.