Top business groups are saying Donald Trump’s payroll tax plan is “unworkable” and won’t be implemented.
Trump recently made a big show of signing orders for the program to go ahead after he could not make a deal with congressional Democrats to extend unemployment benefits. Trump’s plan would also take money out of Social Security and Medicare.
“A raft of big-name business groups is warning many employers won’t participate in President Donald Trump’s payroll tax deferral plan,” Politico reported.
The right-leaning US Chamber of Commerce, National Retail Federation and the National Association of Manufacturers sent Trump a letter explaining his plan’s failures.
“Many of our members consider it unfair to employees to make a decision that would force a big tax bill on them next year,” the business leaders note. “It would also be unworkable to implement a system where employees make this decision.”
Democrats have passed an extension of unemployment benefits in the House, but passage has been held up by Senate Republicans led by Sen. Mitch McConnell.