Trump's Push for Tax Overhaul Faces GOP Resistance

Donald Trump urged House Speaker Mike Johnson to increase taxes on the wealthy and close investor loopholes amid efforts to extend the 2017 tax cuts. Republicans face internal resistance, especially on plans involving Medicaid and environmental tax credits, complicating efforts to pass new reforms.

In an unexpected move, former U.S. President Donald Trump has asked House Speaker Mike Johnson to consider increasing taxes on America's wealthiest citizens. The private conversation, reportedly held on Wednesday, included discussions on closing Wall Street investor loopholes, according to sources familiar with the call.

As the Republican-dominated House of Representatives struggles to find consensus on extending the 2017 Tax Cuts and Jobs Act, the conversation adds a complex layer to ongoing negotiations, which aim to avoid adding significant debt while eliminating taxes on tip income, overtime pay, and Social Security benefits.

A proposed hike from 37% to 39.6% for top earners is part of Trump's vision to fund substantial middle- and working-class tax cuts, despite significant opposition within his party, especially concerning budgets for Medicaid and environmental tax credits. The GOP faces mounting pressure as Memorial Day approaches, with hopes to pass a comprehensive bill in the House by next week.

(With inputs from agencies.)