President Donald Trump has vowed to help the American people during this hard time by releasing executive orders. Here is a summary of Trump’s executive orders and the changes they will bring.
Here is what we know about how the executive orders, if executed, might defer payroll tax collection, while extending unemployment benefits, an eviction moratorium, and student loan relief. Also Read–Trump teases order requiring insurers to cover preexisting conditions
Payroll Tax Deferral/Cut
Trump offered a little more detail on what might take place under his presidential executive order for a payroll tax cut. “We’re going to have the payroll tax (cut) go until the end of the year, and it’ll be retroactive to July 1st. So, we’re going to go back to July 1st, and it’ll go to the end of the payroll tax. At the end of the year, it may be extended.”
However, without the action of the Congress, President Trump cannot legally cut the tax. This means the deferred tax would ultimately be owed, if the Congress is not involved.
Unemployment Benefits to Be Extended Until the End of 2020
If Trump goes through with the executive order, he plans to extend unemployment benefits until the end of 2020. He said, “We’re going to enhance unemployment benefits through the end of the year.”
The President failed to mention where the money would be coming from or how high the federal benefits would be.
Student Loans Will Be Deferred, Interest Will Be Forgiven
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Trump said he would not only defer student loan payments under a presidential executive order, but also forgive interest payments until further notice. This is certainly a big one for students. Before the CARES Act was passed by Congress in March, the Trump Administration had deferred payments administratively. The CARES Act provided broader relief, which is now scheduled to expire on September 30th.
Extend Evictions Moratorium
Trump also said he would extend an eviction moratorium. “People are evicted, not their fault,’’ he said. The eviction moratorium which was included in the CARES Act expired on July 24th. It applied to renters in properties that have federally backed mortgages and protected roughly a third of renters.