In a politically risky move, the White House is urging congressional Republicans to include a tax hike on the wealthiest Americans as part of President Trump’s wide-ranging legislative package, dubbed the “big beautiful bill,” which is nearing completion on Capitol Hill.
The push, confirmed by three sources familiar with the discussions, would allow the top marginal tax rate — cut from 39.6% to 37% under the 2017 Trump tax law — to expire at the end of this year for ultra-high earners. This means that Americans making over $2.5 million individually or $5 million as a couple would see their top tax rate revert to the pre-2017 level of 39.6%. Meanwhile, tax cuts for middle- and lower-income brackets from the 2017 law would be extended.
One source said President Trump personally made the request as recently as Wednesday. According to Punchbowl News, Trump urged House Speaker Mike Johnson (R-La.) to include the proposal in the final version of the tax bill. Johnson did not respond to questions from reporters Thursday.
While the idea of raising taxes — even narrowly — has long been anathema to GOP orthodoxy, some Republicans have quietly acknowledged that the proposal could provide political and fiscal cover for more popular elements of the bill, including middle-class tax relief and funding for Medicaid.
A source familiar with the president’s thinking said, “The President is considering allowing the rate on individuals making $2.5 million or more to revert from 37% to the pre-2017 39.6%. This will help pay for massive middle and working-class tax cuts and protect Medicaid.”
A Republican Rethink — Or Political Gamble?
The inclusion of a targeted tax increase in a Republican megabill marks a sharp departure from traditional GOP messaging. The party has, for decades, campaigned on blanket opposition to tax hikes. As recently as last month, Speaker Johnson said on Fox News he was “not in favor of raising the tax rates,” suggesting such a move was off the table.
However, Trump has repeatedly signaled openness to the idea. In an interview with Time magazine last month, the former president said he liked the concept but feared political blowback. “I actually love the concept, but I don’t want it to be used against me politically,” he said.
Still, Trump’s suggestion appears to be gaining some traction among House Republicans as they struggle to reconcile demands from across the ideological spectrum within their conference. The “big beautiful bill” includes not just tax policy, but also sweeping reforms to immigration, energy, and Medicaid, as well as a debt ceiling increase.
Hardline conservatives are demanding that the bill be deficit neutral and are pushing for deep Medicaid reforms to make it so. Moderates, meanwhile, are skittish about going too far on social programs, and Republicans from high-tax states want changes to the state and local tax deduction cap.
Amid this legislative balancing act, the White House sees a limited tax hike on the wealthiest as a potentially effective way to finance other priorities — and rebut Democratic arguments that the GOP is once again cutting taxes for the rich while slashing public programs.
Pushback from the Right
Not everyone is on board.
Conservative anti-tax groups reacted swiftly and critically to the reports. Grover Norquist, president of Americans for Tax Reform, warned against any move to increase income tax rates, calling it a betrayal of Trump's 2016 pledge to make all tax cuts permanent.
“It is unbelievable that House Republicans are seriously considering raising taxes on anyone,” said Brent Gardner of Americans for Prosperity, “especially while they refuse to eliminate the trillions of dollars in waste from Joe Biden’s Green New Scam.”
David McIntosh of the Club for Growth called the proposal “political suicide,” warning that any move to raise taxes could cost the GOP the House and invite a renewed impeachment push from Democrats.
Still, there was some ideological crossover. Rep. Chip Roy (R-Texas), a member of the conservative House Freedom Caucus and a noted deficit hawk, offered cautious praise. “@realDonaldTrump is SMART to put NET TAX DECREASES with a possible higher top rate on the table IF & ONLY IF we are seriously reforming Medicaid,” he posted on X.
What’s Next
The House Ways and Means Committee is expected to mark up the tax section of the bill on Tuesday. A spokesperson declined to comment on specific provisions under consideration.
It remains uncertain whether the White House's tax pitch will survive final negotiations. But its inclusion in the debate underscores Trump’s unique position within the party — and his willingness to blur traditional ideological lines to craft a politically resonant package ahead of the 2026 midterms.
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