President Donald Trump plans to propose a 10 percent tax on more than $2.6 trillion in earnings that U.S. companies have stockpiled offshore, said a White House official familiar with the president’s tax plans.
Proceeds from the so-called “repatriation tax” would represent a one-time source of sorely needed revenue, which could offset some of the deep tax cuts Trump has proposed for businesses — or could be devoted toward popular, bipartisan initiatives, like infrastructure spending.
Trump’s chief economic adviser, Gary Cohn, and Treasury Secretary Steven Mnuchin met with congressional leaders Tuesday evening to preview the broad tax proposal Trump plans to reveal Wednesday. It will include a call for cutting the top income tax rate on pass-through businesses — a category that includes mom-and-pop grocers, hedge funds and Trump’s own business empire — to 15 percent, down from 39.6 percent, said the official, who asked not to be identified because the discussions are private.
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