Key Points Summary: Trump to tax the rich

• Trump suggested raising taxes on the wealthy, then walked it back
• Proposed higher rate on $2.5M+ single earners, $5M+ for couples
• Warned GOP about backlash, citing “Read my lips” Bush-era fallout
• Said he’d “graciously accept” a hike but blamed Radical Left for weaponizing it
• Wants to expire 37% top rate and revert to 39.6% or 40%
• Private talks with Speaker Johnson revealed Trump’s continued push
• GOP divided as Memorial Day deadline for tax bill looms

Trump to Tax the Rich? Not So Fast

President Donald Trump shocked Republicans and donors alike this week by floating the idea of raising taxes on the rich. But by Friday, he was already backpedaling.

The president’s latest flip-flop came via his favorite platform—Truth Social—where he posted early Friday that even a small tax hike could trigger a political meltdown.

Trump referenced the infamous “Read my lips: No new taxes” line that haunted George H.W. Bush’s presidency, warning Republicans of a potential replay.

Millionaire Tax Floated, Then Softened

Earlier in the week, Trump reportedly told Speaker Mike Johnson he favored a higher top tax rate for individuals earning $2.5 million or more.

His suggested hike would revert the 37% top tax bracket—set under his 2017 tax law—back to 39.6%, or possibly even 40%. That bracket currently affects earners above $600,000.

For couples filing jointly, Trump pitched a new threshold of $5 million.

Trump Posts Mixed Message Online

Despite signaling approval in private, Trump publicly hedged on Friday.

“The problem with even a ‘TINY’ tax increase for the RICH… is that the Radical Left Democrat Lunatics would go around screaming, ‘Read my lips,’” Trump wrote.

“In any event, Republicans should probably not do it, but I’m OK if they do!!!” he added, punctuating the post with his signature ambiguity.

GOP Split as Memorial Day Vote Nears

Trump’s latest comment comes as Republicans scramble to finish their tax and spending package ahead of Memorial Day.

House and Senate Republicans remain sharply divided over the proposal, especially with Trump’s shifting stance.

Anti-tax leaders like Newt Gingrich and Grover Norquist have already mobilized opposition. Gingrich, who famously advised Bush against raising taxes, continues to warn that any hike—even for millionaires—could fracture the party.

Trump Privately Still Wants the Hike

Despite his public wobble, insiders say Trump has repeatedly pushed the idea in closed-door meetings.

According to one source familiar with the talks, Trump views the hike as a way to neutralize Democratic attacks that the tax bill favors billionaires like Elon Musk.

By floating the rate increase, Trump hopes to defend the plan as “balanced”—even if Republicans reject it in the final version.

Tax History Looms Large Over Debate

The president is also keenly aware of political history.

In 1988, George H.W. Bush pledged not to raise taxes. But once in office, he did just that. By 1992, the broken promise haunted his reelection campaign.

Trump, citing that example, warned Republicans not to repeat the mistake—but still left the door open.

He also posted that independent candidate Ross Perot was the real reason Bush lost—deflecting some blame from the tax issue.

Senate Republicans Watch and Wait

Sen. Mike Crapo, chairman of the Senate Finance Committee, admitted this week that Trump’s position complicates the GOP strategy.

“I’m not excited about the proposal,” Crapo said on the Hugh Hewitt show. “But… if the President weighs in in favor of it, that’s going to be a big factor.”

Lawmakers are bracing for a heated battle when the bill reaches the House floor.

Trump to Tax the Rich? Or Just Teasing?

With public hearings expected next week, all eyes are on the final draft of Trump’s “big, beautiful bill.”

Whether or not it includes a millionaire tax remains unclear. But one thing is certain: Trump is testing the waters—and watching the waves.

The president may be signaling to blue-collar voters that he’s not afraid to hit the rich. Or he may just be playing politics as usual.

Either way, the clock is ticking—and the tax fight is far from over.