Advertisement

Donald Trump signs executive orders on coronavirus relief

Donald Trump signed an executive order during a news conference at the Trump National Golf Club - AP
Donald Trump signed an executive order during a news conference at the Trump National Golf Club - AP

US President Donald Trump has signed executive orders extending economic relief to Americans after his Republican party and opposition Democrats failed to reach agreement on a new stimulus package.

Mr Trump also indicated he may be planning cuts to income tax and capital gains tax, which he described as "big news".

He said: "We've had it and we're going to save American jobs and provide relief to the American workers."

The President signed the executive orders at his golf course in New Jersey.

Mr Trump said they would provide an extra $400 per week to unemployed Americans.

They would also temporarily suspend the collection of payroll taxes, limit evictions, and extend zero per cent interest on student loans.

He said: "Congressional Democrats have stonewalled our efforts to extend this relief."

Nancy Pelosi, the Democrat Speaker of the House of Representatives, had pushed to extend extra unemployment payments of $600 per week.

That rate was approved earlier in the coronavirus crisis but had just expired.

Mr Trump acted after nearly two weeks of talks between White House officials and congressional Democrats, which left the two sides still far apart on a new relief package.

Democrats had originally backed a $3.4 trillion aid package, saying they would come down to $2 trillion, but Republicans in congress offered $1 trillion.

Mr Trump's executive orders may be challenged in court, Democrats have warned. That could take months.

The President suggested some of the measures in his executive orders could become "permanent" if he was re-elected.

He added: "We are further looking at additional tax cuts including income tax relief, income tax cuts, and capital gains tax cuts.

"It'll be income tax for middle income and lower income people because they pay a lot of income tax. And you do have tax inequality, and I'm saying that as a Republican."

He said those cuts would be "maybe substantial".

"We'll be reporting back fairly shortly on that. That's big news, very important," he said.