Treasury Says Trump Agenda Would Pay for Senate GOP Tax Cuts

Treasury Secretary Steven Mnuchin released a long-awaited analysis of the GOP tax plan, saying the Senate proposal would help to generate $1.8 trillion in additional revenue over 10 years, paying for the tax cuts through economic growth.

Gross domestic product would increase by 2.9 percent, as a result of cuts for corporations, so-called pass through businesses and individuals as well as regulatory overhaul, welfare cuts and infrastructure changes, according to the one-page report released Monday. That would lead to revenue generation of $1.8 trillion, more than offsetting the plan’s almost $1.5 trillion cost.

An analysis released by Congress’s official scorekeeper the Joint Committee on Taxation previously found that the Senate tax bill would generate enough economic growth to lower its $1.4 trillion revenue cost by only about $458 billion over a decade.

“We acknowledge that some economists predict different growth rates,” Treasury wrote in the document.

Treasury’s inspector general has an open investigation into whether political considerations interfered with Mnuchin’s promised analysis of the tax proposal. The inquiry was launched after The New York Times reported that Treasury had not completed the analysis Mnuchin had touted.