Group 1 - The proposal by President Trump aims to disrupt decades of Republican tax tradition by increasing taxes on wealthy Americans, Wall Street, and Silicon Valley investors [1] - The plan includes raising taxes on individuals earning over $2.5 million and households earning over $5 million, while eliminating the "carried interest loophole" that benefits alternative asset managers [1] - Over 90% of businesses in the U.S. operate as pass-through entities, which do not pay corporate income tax but report income on the owners' personal tax returns [1] Group 2 - The Washington Center for Equitable Growth estimates that pass-through entities employ 43% of the U.S. workforce, and economists warn that taxing these entities could lead to reduced hiring and lower wages [1] - Senate Finance Committee Chairman Mike Crapo expressed skepticism about increasing taxes on high-income earners but acknowledged some Republican colleagues support the plan [1] - Analysts estimate that the proposed tax changes could generate between $350 billion to $450 billion in additional revenue over the next four years, depending on the impact on work incentives and the economy [1] Group 3 - The elimination of the carried interest loophole, which allows investment managers to pay lower capital gains tax rates on income, is a priority for the Trump administration [2] - Previous attempts to repeal this loophole during Trump's first term faced challenges in negotiations with Congress, highlighting the strong lobbying pressures against such reforms [2]