The U.S. Congress may be headed for a reckoning with the federal debt limit within weeks, thanks to wealthy Americans and corporations deferring tax payments in the hope that they would benefit from the lower tax rates promised by President Trump.
Trump promised tax cuts during his election campaign last year and has reiterated those promises in recent months leading some wealthy Americans and businesses to shift accounting for income into the future, betting that lower tax rates will arrive, perhaps in 2018, wealth managers told Reuters.
The need to raise the debt limit usually creates partisan debate in Washington. Conservative Republicans like to use the debt limit issue as leverage to demand cuts in spending but Democrats and moderate Republicans usually oppose such ultimatums on the grounds that the borrowings are used to fund spending approved previously by Congress.
Reference: Reuters
Read More: http://www.reuters.com/
Thai
Eng