EXCLUSIVE: A conservative Republican said he’s opposed to his moderate colleague’s proposal for a modest tax hike on high-income earners, as GOP lawmakers continue to navigate divisions over President Donald Trump’s “one big, beautiful bill.”
“Well, think about that — higher taxes to pay for something that is pretty much self-inflicted by all the states that don’t have their financials in order,” Rep. Ralph Norman, R-S.C., a member of the conservative House Freedom Caucus, told Fox News Digital on Sunday.
It comes as various House Republican factions are locked in high-stakes debates on taxes, Medicaid, and green energy subsidies while crafting Trump’s wide-ranging bill.
Rep. Nick LaLota, R-N.Y., suggested over the weekend that increasing the top tax bracket to a 39.6% income tax rate rather than 37% could help pay for higher deduction caps for state and local taxes (SALT).
TRUMP’S ‘BIG, BEAUTIFUL BILL’ PASSES KEY HOUSE HURDLE AFTER GOP REBEL MUTINY
Rep. Ralph Norman pushed back on a proposal for a modest tax increase to pay for a higher SALT deduction cap, floated by Rep. Nick LaLota. (Getty Images)
The 39.6% rate refers to the top income tax bracket before it was lowered by Trump’s 2017 Tax Cuts and Jobs Act (TCJA).
SALT deduction caps primarily benefit people living in high-cost-of-living areas like New York City, Los Angeles, and their surrounding suburbs.
Republicans representing those areas, including LaLota, have argued that raising the SALT deduction cap is an existential issue — and that a failure to address it could cost the GOP the House majority in the 2026 midterms.
Several of the Republicans vying for higher SALT deduction caps have pointed out that their victories are critical to the party retaining control of the House in 2024.
SALT deduction caps did not exist before TCJA, which notably instilled a $10,000 ceiling for married and single tax filers.
“The One Big Beautiful Bill has stalled—and it needs wind in its sails. Allowing the top tax rate…
