President Trump has resumed talk of a long-sought payroll tax holiday, which outside advisers say could occur with executive action.
“We’re putting it back on the table,” said Stephen Moore, an outside economic adviser to the president and a member of his economic recovery task force, speaking to the Washington Examiner on Monday. Moore has called previously for the measure and has said that without it, “there’s no point in having a Phase Four.”
“I don’t think Trump’s given up on it,” Moore said.
Trump is also considering unilateral action to extend enhanced unemployment benefits and eviction protection if a coronavirus deal cannot be reached in Congress.
With negotiations stalled, the president said on Monday that he is looking to address the impact of an eviction moratorium and a $600-per-week supplement to unemployment for some 30 million people that expired at the end of July.
“A lot of people are going to be evicted but I’m going to stop it because I’ll do it myself if I have to,” Trump during an event at the White House. “I have a lot of powers with respect to executive orders and we’re looking at that very seriously right now.”
Trump has called repeatedly for a payroll tax holiday and said he could veto a coronavirus economic rescue package that did not include it. The measure remains unpopular with lawmakers in both parties, however. Treasury Secretary Steven Mnuchin, who is negotiating with Congress on behalf of the White House, said the tax holiday requested by Trump would not appear.
Trump returned to the idea over the weekend, suggesting that the cut be paired with direct cash payments. “Payroll Tax Cut plus Dollars!” the president tweeted.
Supporters of the idea believe Trump could instruct the federal government to stop collecting the payroll tax temporarily.
In an appeal to the president on Monday, Moore, who is also an Washington Examiner opinion columnist, told Fox News: “Donald Trump: Just do it. Suspend the payroll tax. Stimulate the economy that way. And if you want to make some separate deals with Pelosi, great.”
