Trump budget plan will not cut Social Security, Medicare - Mnuchin

[webfact]

Trump budget plan will not cut Social Security, Medicare - Mnuchin

By David Lawder

REUTERS

 

U.S. Treasury Secretary Steven Mnuchin speaks at a press briefing at the White House in Washington, U.S., February 14, 2017. REUTERS/Kevin Lamarque/Files

 

WASHINGTON (Reuters) - U.S. President Donald Trump's first budget proposal will spare big social welfare programs such as Social Security and Medicare from any cuts, Treasury Secretary Steven Mnuchin said in an interview broadcast on Sunday.

 

Mnuchin said Trump would use a major policy speech to a joint session of Congress on Tuesday night to preview some elements of his sweeping plans to cut taxes for the middle class, simplify the tax system and make American companies more globally competitive with lower rates and changes to encourage U.S. manufacturing.

 

Speaking on Fox News Channel's "Sunday Morning Futures" program, Mnuchin, who has acknowledged that tax reform is his top policy priority, said the budget plan would not seek cuts to federal benefits programs known as "entitlements."

 

"We are not touching those now. So don't expect to see that as part of this budget, OK," Mnuchin said of the programs, according to a transcript provided by Fox. "We are very focused on other aspects and that's what's very important to us. And that's the president's priority."

 

Mnuchin said Trump "will be touching on tax reform" as part of his speech, which is not an official "State of the Union" address.

The plan will reduce the number of tax brackets for individuals and offer a "middle income tax cut," Mnuchin said. On the business side, Trump wants to "create a level playing field for U.S. companies to be able to compete in the world."

 

Mnuchin said Trump was looking at a "reciprocal tax" that would help create more parity with other countries. Trump administration officials have complained that many countries charge value-added taxes on imports while exempting exports from taxation. The United States mainly taxes corporate income.

 

But Mnuchin again said he was only studying a House Republican border tax adjustment plan that would levy a 20 percent tax on imports to encourage more U.S.-based production and exports. That plan aims to raise more than $1 trillion in revenue over a decade to offset lower tax rates for businesses.

 

"So let me just say this is something we are studying very carefully," Mnuchin said. "There are certain aspects that the president likes about the concept of a border-adjusted tax, there are certain aspects that he's very concerned about."

 

He added that the Trump administration would work with the House of Representatives and Senate to craft "a combined plan that takes the best of all of this when we bring it forward."

 

In a comment suggesting that Trump's budget and tax plan may use aggressive revenue assumptions, Mnuchin said the administration "fundamentally believes in dynamic scoring," a budget calculation method that assumes that a lower tax burden boosts revenues by encouraging economic activity.

 

The Congressional Budget Office has previously used mainly "static" scoring methods that assume very conservative economic effects of budget and taxes.

 

"If we make business taxes more competitive, people will do more business here and we'll get more revenues," Mnuchin said. "So although there may be an absolute lower rate, that doesn't necessarily mean it's a corresponding drop in revenues."

 

(Reporting by David Lawder; Editing by Jeffrey Benkoe and Alan Crosby)

 

-- © Copyright Reuters 2017-02-27

[craigt3365]

Sounds great.  Let's put some excise taxes on Thai rice in retaliation to their excise taxes on US wine and booze.  Fair is fair.

[CaptHaddock]

"We are not touching those (SS and Medicare) now."    The operative word would be "now."

[craigt3365]

2 minutes ago, CaptHaddock said:

"We are not touching those (SS and Medicare) now."    The operative word would be "now."

I think Trump and crew would be run out of town if they tried to cut entitlements.  Very difficult to do.

[boomerangutang]

Anyone who believes anything Trump or his thugs declare is naive, at best.

[CaptHaddock]

Just now, craigt3365 said:

I think Trump and crew would be run out of town if they tried to cut entitlements.  Very difficult to do.

The Republican Party, however, is committed to destroying both of those programs.  It doesn't matter how many times they fail.  They only have to succeed once.

[craigt3365]

30 minutes ago, boomerangutang said:

Anyone who believes anything Trump or his thugs declare is naive, at best.

I think that can be said for the inner circle.  Trump, Bannon, Miller, Conway.  But I've been seeing some dissension with others at the cabinet level.  I don't know much about this guy, but like what he says.  Let's hope he can pull it off!

[IMA_FARANG]

I am glad that someone actually believes this.

I don't.

[boomerangutang]

4 hours ago, craigt3365 said:

I think Trump and crew would be run out of town if they tried to cut entitlements.  Very difficult to do.

                  There are a lot of bad things Trump and his crew have done, and a lot more they will do .....which won't get them 'run out of town.'   Already, Trump and crew have been implicated in treasonous activity.  Trump has been implicated in raping one or more 13 year olds.   Trump is a pussy grabber and likes f'ing married women - by his own admission.   Trump's supporters and Republicans in Congress are more loyal to the Republican Party than to America or the 1st Amendment or moral principles.   Republicans have the morality quotient of a griffon eating a baby. 

[rudi49jr]

Just a simple question: if he's going to slash taxes, like he promised, and wants a massive increase of the military budget, how will he be able to afford keeping Social Security and Medicare at the current level? 

[elgordo38]

6 hours ago, webfact said:

Mnuchin said Trump "will be touching on tax reform"

Touching how touching might one ask????????????? Not touching SS and Medicare count to a 100 and then uncover your eyes things might have changed in that period of time. 

[Thaidream]

The US has the largest military budget in he World and Trump wants to increase it not to mention 17 different intelligence agencies costing more billions. Then of course we need to factor in building a wall on the US Mexican Border and he attempting to deport millions of illegal residents which will cost more billions. He wouldn't dare cut Social Security or Medicare to pay for it but his minions will eventually put on the agenda various bills that will raise the retirement age; place more medicare costs on the States; and generally make stealth moves against entitlements.

The only way to stop this man is to get control of at least the Senate in the 2018 election cycle and hopefully enough house seats to make it really tough for him to get the need votes for programs that need Congressional approval.. Bernie Sanders and his crew are working with Democratic strategists right now to do this. Trump has no mandate; he did not win the popular vote; he won the electoral vote and that is not enough for him to consider that he has any mandate for his plans.

[Ken Khomdee]

Great to see the President keeping his promises, especially since neither of those programs are entitlements. They've been funded by American workers throughout the course of their labor, yet raided by politicians and given to shysters and illegals, who rarely contributed. All part of his America first program! 

[craigt3365]

9 minutes ago, Ken Khomdee said:

Great to see the President keeping his promises, especially since neither of those programs are entitlements. They've been funded by American workers throughout the course of their labor, yet raided by politicians and given to shysters and illegals, who rarely contributed. All part of his America first program! 

Spot on.

[WaywardWind]

"... Donald Trump's first budget proposal will spare big social welfare programs such as Social Security and Medicare..."

 

Davis Lawder is writing right out of a Republican playbook....

 

Social Security and Medicare are most definitely NOT "social welfare programs." They are paid for by Americans, directly out of their paychecks. One does not qualify for anything unless he or she has worked and paid into the system for a minimum of ten years, unless one is completely disabled. Benefits at retirement are calculated directly based on the amounts paid in during one's working life.

[ilostmypassword]

51 minutes ago, Ken Khomdee said:

Great to see the President keeping his promises, especially since neither of those programs are entitlements. They've been funded by American workers throughout the course of their labor, yet raided by politicians and given to shysters and illegals, who rarely contributed. All part of his America first program! 

This is nonsense.  If anything illegals have used false Social Security numbers have contributed to these programs without getting anything back.

[craigt3365]

5 minutes ago, ilostmypassword said:

This is nonsense.  If anything illegals have used false Social Security numbers have contributed to these programs without getting anything back.

Good point.  I now remember reading a report about SS taking in a lot of money from "illegals".  Money they can not take back upon retirement.  A lot of money.

[Grubster]

4 hours ago, Ken Khomdee said:

Great to see the President keeping his promises, especially since neither of those programs are entitlements. They've been funded by American workers throughout the course of their labor, yet raided by politicians and given to shysters and illegals, who rarely contributed. All part of his America first program! 

Was Trump the president when these things were raided, if not then how is it part of his America first program?

[Grubster]

3 hours ago, ilostmypassword said:

This is nonsense.  If anything illegals have used false Social Security numbers have contributed to these programs without getting anything back.

So illegal is ok, and they have been abused? Blame it on us legals eh.

[Jingthing]

Dynamic scoring.

Translation -- dynamic lying.

See: KANSAS

http://washingtonmonthly.com/2016/07/03/kansas-experiment-in-right-wing-economics-is-still-failing-miserably/

[swissie]

40% of the outstanding treasury debt of the US is held by "Foreighners" as of today. With disbursing Tax-Breaks to everyone including his uncle, who is going to finance it all ? (Increased Defence Budget + plus rebuilding Infra-Structure, just to name 2 ?) 

 

Are there hopes, that "Foreighners" will shoulder 60% of the US Budget-Deficit ? 

 

 

[ilostmypassword]

 

10 hours ago, ilostmypassword said:

This is nonsense.  If anything illegals have used false Social Security numbers have contributed to these programs without getting anything back.

6 hours ago, Grubster said:

So illegal is ok, and they have been abused? Blame it on us legals eh.

How clueless can you be? I said nothing about it being ok. I just pointed out that illegals actually give a net contribution to Social Security since by using false social security IDs, they can only contribute but not draw on it.

[ilostmypassword]

 

11 hours ago, Ken Khomdee said:

Great to see the President keeping his promises, especially since neither of those programs are entitlements. They've been funded by American workers throughout the course of their labor, yet raided by politicians and given to shysters and illegals, who rarely contributed. All part of his America first program! 

6 hours ago, Grubster said:

Was Trump the president when these things were raided, if not then how is it part of his America first program?

Actually, this poster while wrong about illegals, said nothing about them or shysters being part of Trump's America first program. Quite the contrary in fact. Remedial reading, anyone?

[beechguy]

6 hours ago, Jingthing said:

Dynamic scoring.

Translation -- dynamic lying.

See: KANSAS

http://washingtonmonthly.com/2016/07/03/kansas-experiment-in-right-wing-economics-is-still-failing-miserably/

Gee, that's funny, I'm in Kansas right now, and I don't see any real problems. What I do see, is an oil business that took a dive, and plenty of people whining about education and other issues,  but are always reluctant to look at the other side of the issue. 

[ilostmypassword]

39 minutes ago, beechguy said:

Gee, that's funny, I'm in Kansas right now, and I don't see any real problems. What I do see, is an oil business that took a dive, and plenty of people whining about education and other issues,  but are always reluctant to look at the other side of the issue. 

If by "whiners" you mean the vast majority of Kansas voters, you have a point.

[beechguy]

28 minutes ago, ilostmypassword said:

If by "whiners" you mean the vast majority of Kansas voters, you have a point.

Yes, and as usual, most really don't have a clue about budgets, etc. only what the media and scaremongers stir up. Last year, there was a big uproar about shortening the school year, where I was, they closed two days early. Not the big disaster it was made out to be in the media.

[maewang99]

there's only one problem.

these programs are deeply unsustainable.... and not something in the far off future. 

you don't need green eye shades... just take off the horse blinders. that and just one or two CBO charts. and don't forget to multiple everything by 80,000,000 baby boomers. 

 

multiply.... not add.  

 

Edited February 28, 2017 by maewang99

[ilostmypassword]

2 hours ago, beechguy said:

Yes, and as usual, most really don't have a clue about budgets, etc. only what the media and scaremongers stir up. Last year, there was a big uproar about shortening the school year, where I was, they closed two days early. Not the big disaster it was made out to be in the media.

Those silly whiners complaining about the state not repairing its roads because they've raided the highway fund to pay for the deficit.  I mean, Kansas is about the size of Rhode Island, right? So  how much can it cost to pay for the upkeep of roads? 

Edited February 28, 2017 by ilostmypassword

[beechguy]

8 minutes ago, ilostmypassword said:

Those silly whiners complaining about the state not repairing its roads because they've raided the highway fund to pay for the deficit.  I mean, Kansas is about the size of Rhode Island, right? So  how much can it cost to pay for the upkeep of roads? 

I didn't have any problems driving in central and western Kansas, they completely repaved several sections of road between Dodge City and Liberal, have gone from Wichita to Goodland, again, not a problem. They are doing an extension now of eastern Kellogg in Wichita. I would say the roads in Oklahoma are in worse condition. Perhaps you should consider brushing up a little on your geography and news sources.

[ilostmypassword]

48 minutes ago, beechguy said:

I didn't have any problems driving in central and western Kansas, they completely repaved several sections of road between Dodge City and Liberal, have gone from Wichita to Goodland, again, not a problem. They are doing an extension now of eastern Kellogg in Wichita. I would say the roads in Oklahoma are in worse condition. Perhaps you should consider brushing up a little on your geography and news sources.

You might for once consider trying news sources:

http://www.kansascity.com/news/politics-government/article51972555.html

http://www.kansas.com/news/politics-government/article72918647.html

http://www.kansas.com/news/politics-government/article126644799.html

 

And the highway fund is just one of many funds that Brownback has raided to maintain his ridiculous failure of a tax cut.