Federal Tax and Revenue Changes a President Could Propose
A president can propose changes to individual and corporate tax rates, capital gains treatment, and deduction rules, but Congress must pass legislation. The Tax Cuts and Jobs Act of 2017 lowered the corporate rate from 35% to 21%, and the current top individual ordinary income rate is 37%. The IRS collects roughly $4.9 trillion in annual federal revenue as of the latest public budget data, with individual income taxes and payroll taxes making up the largest share. If you were president, you might target changes to long-term capital gains rates, carried interest treatment, or corporate minimum taxes to affect after-tax returns for high earners and businesses.
Under current law, the top long-term capital gains rate is 20%, plus a 3.8% net investment income tax for high earners. Short-term gains are taxed at ordinary income rates up to 37%. If you were president, you could propose raising capital gains rates, limiting the step-up in basis at death, or expanding the 3.8% surtax. The Joint Committee on Taxation and the Congressional Budget Office score such proposals to estimate revenue impacts and distributional effects. Changes to estate and gift tax exemptions, currently over $13 million per individual, would also affect wealth transfer and federal receipts.
Regulation, Trade, and Energy Policy Levers
A president directs federal agencies to write, enforce, or roll back rules in areas such as finance, environment, labor, and technology. The SEC, FTC, and CFPB implement statutes that affect market structure, disclosure, and consumer protection. For example, the SEC requires public companies to file annual reports, proxy statements, and current reports through EDGAR, and rule changes can alter listing standards, climate disclosure requirements, and shareholder voting rules. If you were president, you might prioritize rules on climate-related financial disclosures, cryptocurrency oversight, or merger review standards.
Trade policy tools include tariffs, export controls, and trade agreements that affect supply chains and consumer prices. The U.S. Trade Representative administers trade remedy investigations under statutes such as Section 301 of the Trade Act of 1974 and Section 232 of the Trade Expansion Act of 1962. If you were president, you could adjust tariff rates on imports from major trading partners, renegotiate trade deals, or use the Defense Production Act to reshore critical supply chains. The Bureau of Economic Analysis tracks trade in goods and services, with the latest data showing the goods trade deficit at several hundred billion dollars annually.
Federal Spending, Debt, and Monetary Policy Coordination
The president submits an annual budget request that outlines proposed spending and revenue changes, but Congress controls appropriations and debt limits. The Congressional Budget Office projects spending paths for mandatory programs such as Social Security, Medicare, and Medicaid, which together account for a large share of federal outlays. If you were president, you might propose changes to discretionary caps, tax credits, or entitlement eligibility thresholds to influence deficits and debt-to-GDP ratios.
The Federal Reserve sets monetary policy independently, but the president appoints governors and the chair, subject to Senate confirmation. The Fed uses the federal funds rate target to influence borrowing costs, inflation, and employment. If you were president, you could influence the pace of rate changes through appointments and public communication, while respecting the Fed's independence. The Treasury Department manages federal debt issuance, and changes in fiscal stance can affect yields, the dollar, and risk assets. For current data on federal finances, the Treasury and the CBO publish detailed reports used by investors and policymakers.