Pence Urges Trump to Oppose Tax Hikes on Wealthy Americans

Mike Pence warns President Trump against raising taxes on wealthy Americans, arguing such a move would devastate small businesses across the nation and slow economic growth.

Key Takeaways

Former Vice President Mike Pence is urging President Trump not to raise tax rates on wealthy Americans from 37% to 39.6%, warning it would harm small business owners.
The 2017 Tax Cuts and Jobs Act, a signature achievement of Trump’s first term, is set to expire unless Congress takes action to extend it.
Trump and some Republicans are considering allowing tax cuts for high-income earners to expire to fund other priorities.
Pence advocates making all Trump-Pence tax cuts permanent to support continued economic growth.
The potential tax increase would affect individuals earning $2.5 million or more annually.

Small Business Impact at Center of Pence’s Concern

Former Vice President Mike Pence has taken a firm stance against potential tax increases on wealthy Americans being contemplated by the Trump administration. Speaking to Fox News Digital, Pence emphasized that such tax hikes would have far-reaching consequences beyond just affecting high-income individuals. The former vice president’s comments come as President Trump and some Republican lawmakers consider allowing certain provisions of the 2017 Tax Cuts and Jobs Act to expire for high-income earners.

“Former Vice President Mike Pence tells Fox News Digital that raising the tax rate on the wealthy ‘would be an enormous tax increase on small business America’.”

At issue is a potential increase in the tax rate for individuals earning $2.5 million or more annually from the current 37% to 39.6%. While this might appear targeted only at the ultra-wealthy, Pence argues the impact would be felt broadly across small businesses. Many small business owners file taxes as individuals rather than corporations, meaning their business income is taxed at individual rates. A tax increase on high earners would therefore directly impact capital available for business investment, hiring, and expansion.

Pence Urges Republicans to Hold the Line on Tax Hikes for the Rich as Trump Weighs Options | Fox News https://t.co/L7uVao5dNZ

— Mike Pence (@Mike_Pence) April 17, 2025

The Legacy of the Trump-Pence Tax Cuts

The 2017 Tax Cuts and Jobs Act stands as one of the most significant legislative achievements of the Trump-Pence administration. Without congressional action, these tax cuts are set to expire in the coming years. Pence has positioned himself as a defender of this policy legacy, advocating for the permanent extension of all provisions in the legislation, not just those affecting middle and working-class Americans.

“Any suggestion that I’ve heard among some in and around the administration that we raise the top margin rate, the so-called millionaires tax, would be an enormous tax increase on small business owners across America. It needs to be opposed,” Pence said.

The former vice president’s position highlights a growing debate within Republican circles about tax policy priorities. While some Republicans may be open to allowing certain tax cuts to expire to address other fiscal priorities, Pence remains committed to the traditional conservative principle of maintaining lower tax rates across the board. This stance reflects his broader political philosophy that emphasizes limited government intervention and reduced taxation as drivers of economic growth.

Pence’s Vision for Economic Growth

Beyond his opposition to tax increases, Pence outlined a broader economic vision that emphasizes making all Trump-Pence era tax cuts permanent. He presents this approach as essential for laying a strong foundation for future economic prosperity. The former vice president’s economic philosophy remains rooted in traditional conservative principles that prioritize private enterprise over government intervention.

“Let’s make all the Trump-Pence tax cuts permanent. That’s a way to really lay a foundation to grow the economy in the days ahead,” urged Pence.

While acknowledging President Trump’s accomplishments, Pence has expressed concern about some recent policy directions that may diverge from traditional conservative approaches. The former vice president continues to advocate for core Republican principles, including strong national defense, American leadership internationally, limited government, lower taxes, and traditional values. These comments suggest Pence is positioning himself as a guardian of conservative principles even as the Republican Party continues to evolve under Trump’s leadership.