Democrats will attempt to undo tax cuts for wealthy households when they take over the House in January, The Wall Street Journal’s Richard Rubin reports. The move will likely come as part of an effort to reach a bipartisan deal that boosts infrastructure spending.
But infrastructure won’t be the only policy issue in play as lawmakers wrangle over new spending proposals and rising deficits. “The partisan collision on taxes for the wealthy could also affect discussions on health care, education, more tax cuts for middle-income households and future budget deals on defense and discretionary spending,” Rubin writes.
President Trump said earlier this week that he would be open to a deal that involved raising taxes, but Republican lawmakers may balk at reversing the tax cuts, in whole or in part. “There is bipartisan interest in infrastructure,” said current Ways and Means chair Rep. Kevin Brady (R-TX). “The challenge has always been how to pay for it. I haven’t seen any proposals from Democrats that don’t include either higher taxes or borrowing a great deal more of debt.”