Former House Speaker Newt Gingrich took to Fox Business’ “Kudlow” Thursday to champion President Trump’s tax reforms. He contrasted them with the 1981 tax cut under Reagan, which didn’t kick in until 1983, deepening a recession in 1982 as businesses held off investing. Trump’s plan, Gingrich says, avoids that trap.
House Republicans advanced a budget resolution February 25 to extend Trump’s first-term tax cuts, set to expire end of 2025. Gingrich argued this is critical to dodge Biden’s “bad economy.” “If we can get the bill passed by May or June, you will see literally trillions of dollars of commitment to new factories, new jobs,” he said.
Time’s ticking, he warned. “The first couple of weeks of the Trump administration, I have no doubt that by the end of this year” the impact will show—if Congress moves fast. Republicans need this to keep the House in 2026, avoiding a recession that could flip control to Democrats.
Trump’s cabinet fuels Gingrich’s optimism. “You have an entire cabinet that is the most entrepreneurial, the most success-oriented and the most achievement-oriented cabinet in history,” he said. Pair that with tax cuts and deregulation, and America could lead the world in competitiveness.
The 1981 lesson looms large. Gingrich recalled how delayed tax relief tanked the economy—businesses waited out 1982, worsening the downturn. Trump’s reforms, he insists, must hit early to spark growth now, not later, ensuring factories rise and pensions stabilize.
Republicans can’t dawdle. Gingrich sees a “revolution” in artificial intelligence on the horizon—tax cuts could supercharge it, driving higher incomes and Social Security solvency at 3 percent-plus growth. “You solve a lot of problems,” he told host Larry Kudlow.
Trump’s first-term cuts already proved their worth, Gingrich implied. Unlike Reagan’s lag, these reforms aim to ignite investment fast—crucial when Biden’s weak economy lingers. Conservatives see this as a do-or-die moment to cement Trump’s vision.
The heartland’s watching. Gingrich’s push echoes Trump’s Tuesday address—taxes slashed, jobs back, America first. Republicans must deliver by mid-2025, he argues, or risk losing the House to a Democrat blockade in 2026, derailing the whole agenda.
This isn’t just policy—it’s survival. Gingrich knows speed is everything; delay means recession, lost seats, and a stalled Trump term. Conservatives rally behind this: pass the cuts, fire up the economy, and keep America’s edge sharp against the world.
