**White House Press Secretary Karoline Leavitt** has unveiled **President Donald Trump’s new tax proposal**, which promises **significant tax cuts for the middle class** while **eliminating loopholes benefiting wealthy individuals**.
Key Provisions of Trump’s Tax Plan
The proposal includes several **middle-class tax relief measures**, such as:
- **Eliminating taxes on tips**, benefiting workers in the hospitality and service industries.
- **Exempting Social Security benefits from taxation**, reducing the financial burden on retirees.
- **Removing taxes on overtime pay**, allowing hard-working Americans to keep more of their earnings.
- **Closing the carried interest loophole**, which has long benefited hedge fund managers.
Extending the 2017 Tax Cuts and Lowering Corporate Taxes
The plan also seeks to **extend the 2017 Tax Cuts and Jobs Act**, ensuring that middle-class families and businesses continue to benefit from previous reductions. Additionally, Trump is proposing a **corporate tax rate reduction from 21% to 15%**, aiming to **boost economic growth and job creation**.
Opposition and Legislative Challenges
While the **White House argues** that the tax cuts will **stimulate economic expansion**, the proposal has **faced strong opposition from Democrats** and even some Republicans. Critics raise **concerns about potential increases in the national deficit** and **inequities in tax distribution**.
Democrats argue that while the plan **helps middle-class workers**, the corporate tax cut could **disproportionately benefit big businesses** without sufficient measures to ensure **long-term economic stability**.
A Tough Legislative Battle Ahead
With **deep divisions in Congress**, the proposed tax plan is expected to **face a challenging legislative path**. Lawmakers will **debate its economic impact**, potential **fiscal consequences**, and whether the **benefits outweigh the risks**.
As discussions unfold, Americans will be watching closely to see if **this plan delivers real financial relief** or **adds to the nation’s growing debt**.
