Economics
Trump Payroll Tax Cut Would Do Little to Ease Fallout From Virus
- Two-point cut in rate would cost $151 billion in revenue
- Trump offers no details of plan to boost economy amid outbreak
Donald Trump, left, speaks after attending the weekly Senate Republicans policy luncheon at the U.S. Capitol in Washington, D.C. on March 10.
Photographer: Andrew Harrer/BloombergThis article is for subscribers only.
A payroll tax cut that President Donald Trump is pushing for in Congress would get money into consumers’ hands quickly but wouldn’t help those who’ve lost their jobs and may not be enough to stave off a recession, according to economists.
Cutting or suspending the payroll tax is one of the main ideas put forward by the president as his administration and Congress try to respond to the economic disruption caused by the spreading outbreak of the novel coronavirus.