Treasury Secretary Scott Bessent calls for Trump tax cuts to be made permanent

Published On Feb 6, 2025, 6:00 AM

Treasury Secretary Scott Bessent is advocating for making the Trump-era tax cuts, originally part of the 2017 Tax Cuts and Jobs Act, permanent rather than allowing them to expire or extending them temporarily. He argues that failing to do so would result in the largest tax increase in U.S. history, negatively impacting the economy and American families. Bessent believes that permanency in tax cuts would aid in controlling inflation, reducing regulations, and sustaining U.S. economic leadership. He has urged Congress to unify around this tax proposal to avoid significant economic drawbacks if the cuts are not extended.

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If Congress makes the tax cuts permanent, it could boost consumer spending and corporate profits, generally leading to positive market responses. Sectors benefiting from the tax cuts, such as technology and consumer discretionary, may see increased investment.

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