Mnuchin Touts Tax Reform Plan for Fall Rollout

Last week, AFSA attended an invitation-only presentation with Treasury Secretary Steve Mnuchin hosted by Axios, a news service started by the founders of Politico. Mnuchin said the Trump Administration is targeting a tax reform plan to be introduced after the summer recess. The plan will focus on reducing the corporate tax rate to spur spending and growth by U.S. companies, as well as lowering the personal income tax rate structure on middle-income earners.

“We have been working the last two months on tax reform,” Mnuchin said. “We want the economy to have an annual growth rate of 3-to-3.5 percent instead of the 1.8-to-2 percent it has been for the past few years. Tax reform is one way of growing the economy.”

Another way of growing the economy, he said, is through regulatory relief. The administration is looking at all regulatory agencies, especially those that affect banks, non-banks, and processors and is seeking input form affected companies.

AFSA member companies met earlier this month with the administration’s Domestic Policy Council and briefed Council members, including the Vice President’s chief economist Mark Calabria, on the regulatory burdens hurting their businesses, customers and employees.

Mnuchin said the administration’s top focus is the U.S. economy. To jump-start the economy, the administration is focusing on trade, regulatory reform, and tax reform. The completed tax reform package will include both corporate and personal tax relief. He said that Congress and the administration want a business tax that is competitive with other countries. These actions will benefit AFSA member companies resulting in increased access to capital and increased opportunities for credit.