Details of the Republican stimulus package start to emerge

Details of the Republican stimulus package start to emerge
Congress returned to Washington today after just a two-week recess with the past few weeks to outline the features of the next, and possibly the last, stimulus package for coronavirus. Senate Majority Leader Mitch McConnell works behind the scenes on various aspects of the stimulus bill, including whether to provide Americans with a second stimulus check, if and how the federal unemployment reward will be extended, and what to do about the shields of commercial responsibility, but The details were kept under heavy guard.

Republican leaders met with Trump and Mnuchin

McConnell and House Minority Leader Kevin McCarthy met President Trump and Treasury Secretary Stephen Manuchin earlier today to discuss the current status of the proposed legislation. Manuchin was Trump's chief negotiator on past aid packages and was leading discussions with Republicans and Democrats over the upcoming relief bill as well.

Details are emerging about the initial proposal for the stimulus package from the Republican Party, although "the people involved in the talks warned that negotiations were under way and that the provisions were flexible and subject to change," according to The Washington Post. Steve Mnuchin stressed that the focus of the new proposal would be "children, jobs and vaccines." Here's how to shape a motion, which still needs to be passed by both the Senate and House.

Salary tax reduction

In his meeting with McConnell, McCarthy, and Manuchin, Trump reiterated his support for salary tax cuts, saying, "It has proven successful and it is a great saving for the people. It is a tremendous savings and incentive for companies to re-employ and retain their workers." He added, "Payroll tax to me is very important." It appears that the payroll tax cut now is likely to be included in the Republican proposal that will be unveiled by McConnell tomorrow during the Republican's closed weekly lunch, according to The Washington Post.

In an attempt to appease fiscal conservatives, it appears that the payroll tax cut might be organized as a delay, rather than an outright cut, which would "reduce the technical cost of the total bill", because "such a delay would require Americans to pay the tax cut at a later time, but Lawmakers may then decide to wave the payment in full. " This could also help bundle more provisions in a $ 1 trillion bill while appeasing President Trump's request to include a payroll tax cut.

Reduced federal unemployment reward and return to work incentives

Mnuchin walked out of the meeting this morning and confirmed that Republicans aim to reduce the $ 600 weekly reinforced federal unemployment benefit, which is due to end this weekend. While Mnuchin has not yet announced the Republican Party over the new bonus amount, several outlets have indicated that it will be within the range of $ 200 to $ 400 a week, likely to start at the underside, and presumably allow room for negotiation with Democrats.

Manuchin also noted that the administration wants to increase tax exemptions to stimulate return to work and the purchase of protective equipment to ensure safe working conditions. "We will make sure that we do not pay people more money to stay at home than go to work," Manuchin commented. "We want to make sure that people who can go to work safely can do so." We will get tax breaks that motivate companies to get people back to work, and you'll get tax credits for [personal protective equipment] for safe work environments. "

Check for the second stimulus

According to the Washington Post, the Republican proposal "is expected to include a new round of direct payments to American individuals, potentially at the same level as $ 1,200 per person in the Tender Law." However, there was no definitive confirmation that the check would be included and there remains ambiguity about the amount and eligibility criteria. Given McConnell's desire to keep the coronary stimulus bill close to $ 1 trillion, there may be a movement in the features of the second stimulus test to keep the overall cost down.

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