According to people familiar with the matter, U.S. Republicans are considering setting up a new tax rating for people with incomes of $1 million or more to offset part of the cost of the tax bill, which is very different from the Republican stance against tax increases for decades, according to people familiar with the matter. The new maximum tax rate will be between 39% and 40%, according to people familiar with the matter. Trump administration officials and Capitol Hill allies are beginning to draft tax plans, hoping to pass in the coming months. Additionally, Republicans are considering raising the highest tax rate for incomes of more than $626,350 from the current 37% to 39.6%, meaning the highest tax rate will return to the level set by former President Obama.