Trump House GOP ally on board with tax hike for ultrawealthy to fund 'big, beautiful bill'

Rep. Dan Meuser, a Republican from Pennsylvania, has expressed support for a White House proposal to raise the tax rate to 40% for individuals earning more than $1 million annually.

In a statement to Fox News Digital on Tuesday, Meuser emphasized the need for a tax and regulatory plan that promotes pro-American economic and manufacturing growth, benefits the majority of Americans, and ensures fiscal responsibility. “Any adjustments in taxes to accomplish these goals should be considered,” he added.

Last week, sources told Fox News Digital that White House aides began quietly discussing a proposal with House Republicans to raise the tax rate for high earners to 40%. The move is part of an effort to fund President Donald Trump's proposed plans to eliminate taxes on overtime, tips, and Social Security, fulfilling key promises from his campaign.

On Thursday, Meuser explained on “Mornings with Maria” that he had previously suggested a modest tax hike of less than 2% for the wealthy income bracket. He noted that Trump's 2017 Tax Cuts and Jobs Act lowered the top tax rate from 39.6% to 37%, and raising it to 38.6% would still keep the rate below its pre-TCJA level by almost a full percentage point.

“We’re fighting for small businesses and for all of America,” Meuser said, highlighting the revenue potential of a small tax hike. “If you were to bring it up by 1 point, it brings $15 billion in revenues... if it did come up to 39%, it’s almost $25 billion.”

Meuser, who is campaigning with Trump for the 2024 elections and is rumored to challenge Governor Josh Shapiro in 2026, underscored that Trump’s tax plan is designed to benefit middle-income Americans and small businesses. He added that an exemption would be considered for pass-through small businesses to shield them from higher tax rates.

While Meuser is open to tax increases for the wealthy, other conservative figures, including Sen. Josh Hawley (R-Mo.) and Sen. Mike Rounds (R-S.D.), have firmly opposed any tax hikes. Hawley told Fox News Digital that Republicans should focus on protecting tax cuts for working-class Americans, a critical part of Trump's voter base.

Former Vice President Mike Pence, who refers to the 2017 tax cuts as the "Trump-Pence tax cuts," has also voiced opposition to tax increases for top earners. Last week, Pence’s conservative advocacy group, Advancing American Freedom, sent a letter to congressional Republicans urging them to "stand firm against tax hikes" and to make the 2017 tax cuts permanent.

This article was reported by journalist Angelia.