Budget Scorekeeper Wades Into Trump Tax Extension Debate (1)

Congress’ budget scorekeeper said the impact of allowing the GOP’s 2017 tax cuts for individuals to expire would be negligible on economic growth, renewing debate over the impact and potential cost of extending the cuts.

In a new estimate Wednesday, the Congressional Budget Office said the economic impact of the expiration of those individual breaks ultimately would be a wash after an initial dip in gross domestic product.

The impact of tax increases on the labor supply would roughly offset revenue gains, CBO Director Phillip Swagel wrote in a blog post. But private investment would likely increase in the ...