Trump Administration to Ease Supplementary Leverage Ratio for Banks While Tax Bill Costs Low-Income Americans $1,500 Annually

The Trump administration is preparing to ease capital requirements for major banks, including Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, U.S. Bancorp, and Wells Fargo. This regulatory rollback aims to relax the supplementary leverage ratio, a post-2008 financial crisis rule, with involvement from the Federal Reserve, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation. Treasury Secretary Scott Bessent has indicated support for scaling back these regulations. Concurrently, the Trump tax bill has drawn criticism for disproportionately benefiting wealthy Americans while imposing higher costs on lower-income households. Independent analyses estimate that the tax plan could cost poorer Americans up to $1,500 annually, while the wealthiest could gain approximately $104,000. The legislation’s provisions, including a tax break on tips, are projected to result in a net loss of income for low-income earners, effectively transferring wealth from poorer to richer segments of the population. These developments have been reported by Politico, Reuters, and other international news outlets.