The proposals, which Trump outlined in the politically critical Philadelphia suburbs along with his daughter Ivanka, represent a new attempt to court female voters whose support has eluded the Republican presidential nominee.
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Trump first proposed the child care initiative weeks ago, but he broadened it to help working parents after facing criticism that his initial proposal would primarily help high earners rather than women and families on the lower end of the economic spectrum.
In remarks before her father’s speech, Trump’s daughter said the issue of affordable childcare has been a top concern of hers and she seized the opportunity to address the issue because her father is “in a very unique position to do something about this problem”.
During a call this morning with reporters, Ms. Trump said that she had been involved with crafting the plan and was “excited to see it come to fruition”.
Mr. Trump’s proposal calls for allowing taxpayers – both those who take the standard deduction and those who itemize deductions – to deduct child-care expenses up to an amount equal to the average cost of care in their state. The deduction is for individuals earning up to $250,000, or $500,000 for a married couple filing jointly.
Trump is also expected to propose a guaranteed six weeks of paid maternity leave, according to The Washington Post.
But as with any policy proposal, many ask who’s going to pay for it. Trump says he’d pay for his proposal by fixing fraud and improper payments from the federal unemployment insurance program. A Trump campaign aide said that businesses will receive tax incentives to provide on-site childcare.
Perhaps more controversial within fiscally hawkish circles inside the Beltway will be Trump’s plan to expand the Earned Income Tax Credit for low-income working families who spend money on child care. The accounts would be broader and more widely available than current tax-preferred “flexible spending” accounts that are available only through employers. That’s more than 50 million households. More than 40 percent of USA taxpayers don’t make enough money to owe taxes to the federal government, meaning they would not benefit from a deduction.
New savings accounts for families to cover child-related costs.
Trump said the reforms were necessary because 46 percent of the workforce are women, many with young children. Clinton also wants to institute a hard cap on families’ childcare costs, as 10 percent of their overall income. Trump is breaking with the long-standing Republican tradition of blinking furiously and changing the subject whenever someone asks about paid leave.
Trump has already overhauled his tax plan once this election. He said that the goal was for the entire package to be deficit-neutral.
Trump will propose the policy during a speech outlining his child care plans in Pennsylvania on September 13, The Hill reports.
The House GOP tax plan doesn’t mention child care at all, instead consolidating the existing child tax credit and personal exemptions into a single tax break.
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Donald Trump is once again taking the fight to Democrats and Hillary Clinton. This is often a tactic used by Republicans who are wary of increasing government spending, or proposing taxes to fund a new proposal.
