00:00Walk us through the details here. How should we be thinking about potential tax cuts coming down the pike?
00:07Well, the recent developments are showing what a difficult coalition the Republicans have to bring together on this.
00:14Typically, tax cuts are, you know, a mainstay of Republican policies.
00:19But what we're seeing here is that not only the level of tax cuts, but the targeted cuts in spending are dividing the coalition.
00:27So a couple of the main points that are going to have to be resolved are, you know, a big one is the state and local tax deduction.
00:36In the 2017 bill that Trump made, these tax cuts that are set to expire this year, they lowered the cap.
00:47They put a cap, a $10,000 cap on state and local deductions from federal income taxes.
00:51And, you know, states like California, New York, New Jersey, where Republican representatives are getting a lot of pressure from their constituents to raise that cap.
01:02They're not going to go along with a bill that doesn't lift that considerably.
01:06That, of course, cuts into revenues.
01:09And when you are talking about the level of cuts that they want to do, $3.8 trillion over the course of 10 years, that's really important.
01:15So he's going to have to bring that coalition together.
01:18And, of course, Trump is headed to the Capitol today to do that.
01:21But, you know, he's up against some pretty staunch opponents of that part of the bill.
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