Cardon, all this hour on Andrea Mitchell reports good day, im Andrea Mitchell in washington overlooking the white house where today is tax day. President trump about to unveil his big plan including slashing business tax to 15 . Kristen, this is a big tax plan, it doesnt at all address blowing a hole in the deficit. It doesnt, andrea. Let me tell you what we know so far that we will learn later on today. We know is going to call for major tax cuts for all businesses. As you point boout, down to 15 . It will call for about increase in dedestructions for individuals and families, how is the government going to pay for all of this . That continues to be the big question. So far, their mum about that. We know that one of the options that has been talked about here at the white house is potentially eliminating deductions to 401ks. As you say this is already getting reaction and criticism. Republicans want to know how it will be paid for and consider that it could ultimately increase the deficit. That is a problem for a lot of republicans. And the president has not released his own tax returns and some critics are going to say how is the president and his family going to benefit from this tax proposal. All of this will be on the table today when we get the briefing later on today. There was a photo op a few minutes ago, and he was asked about the halt on sanctuary cities, cities that refuse to cooperate with immigration officials and deportations, and lets play a little bit of what he said. Are you surprised on the ninth circuit rules . Im never surprised by the ninth circuit. As i said, well see them in the supreme court. So a little noisy there with the laughter, but he said well see you in the supreme court, and this she never surprised by the supreme court, but this is the third time in Broad Strokes that he has been set back, his whole approach to imaggressimig has been set back. Yes, so this is politically a problem, what he is trying to enact, incloougd the travel ban, has been tied up in the courts. Two separate versions have been blocked. He is approaching the 100 day pen much mark, and it is yet another example of taking aim at the judiciary. It could be controversial for a whole host of seasons, but as you said there, well see them at the supreme court, he continues to reiterate that. Thank you, kristen. John mccain, the chairman of the Armed Services committee, senator, first of all, welcome. Thank you for being with us. I know it is a busy time in foreign policy. Lets talk about north korea. You had dinner with the president the other night. Now this rare senate briefing, all 435 members of the house being briefed on capitol hill. Is this a briefing, or an alert to tell them that something is about to happen . I think the significance of challenge north korea, both with the means to deliver them could be compared to some extent with the cuban missile crisis. But the key to this in the short term is china. They can restrain north korea. It is not up to them to see this kind of controversy. So i hope that the president s relationship that he in florida with the chinese leader will yield some benefits in breaking the capability. The president said that they were seaing, in the last few hours, he said changing on the part of china. We have not seen that so far. And theyre objecting now to the deployment of the thaad Missile Defense system. So what are we seeing that is pulling back and restraining north korea . We have seen nothing from china, they problem up koreas economy. To think that a united korea would be a threat to china is ridiculous and outrageous. So i think that we have to make it clear to china there will be penalties in our relationship with china unless they do the right thing and the right thing is to prevent this kind of crisis that has enormous consequences. You know andrea, sometimes thinks happen by accident and so i believe that china has to understand that the United States of america cannot live with a situation where north korea has the kind of capability. We have the ability to intercept them, but you cant totally rely on that. We have the ability, but just relying on that is not something that the American People will find acceptable. There was a suggestion that we now impose secondary sanctions. Getting them to be blocked from dealing in dollars, basically blocking them from the World Economy if they dont cut off the supply lines to north korea, should we do that . I think it is an option that should be immediately considered. Another is the imbalance between the United States and china as far as the ability to do business. It is very hard for the United States of america. There is a broad range of options that the chinese have to understand this is just not some kind of adventure they can fit by and watch happen because of the consequences here. This is very serious. For us to have to contemplate a military option, as you know and i believe most of our viewers do, there is artillery that could strike a city of 125 Million People called seoul from across the dmz. That could be catastrophic. You had some suggestions, should we consider now angst before north korea fires another test . And what would be the consequences of that . I think it has to be an option, but the last option. There is just too many things that the North Koreans can do including this business of raining artillery and rockets on to the capital of seoul and 125 Million People. You cant take it off of the table, but you have to understand how serious the consequences could be president the North Koreans still have the ability to inflict enormous damage. I would go back to china again to make them understand this is a threat to the United States of america. And we expect them, asthmature players and world leaders, to restrain north korea, something they have not done in the past, by the wra. Let me ask you about iron. A Navy Destroyer had a Close Encounter with an iranian vessel. It is not the first incident. They had to touchen up the other day, and then launch a review of the iranian relationship. Was that the right move . That they were complying with the narrow terms. There is agencies by the same people that made public the last facility where they were moving forward with Nuclear Weapons. There is claims they are breaking the agreement. You dont think the u. N. Weapo weapons inspectors have eyes on and that it is reliable . I think there are areas that are swiss these and they are the same organization whose allegations in the past of secret facilities turned tout be true. And would it surprise anyone if the iranians were cheating . Second, their continued brinksmanship in international waters. I think we have to say if someone comes in an aggressive fashion, in a range that puts a United States navel vessel in danger, they will be shot down. Just establish certain parameters they cannot cross. And then if they cross, its near problem, not ours. The greatest propaganda coup they had in many years was the pictures they blasted around the world of american sailors on their knees with hands collapsed behind their neck and there was no respond from the United States of america. There is a new sheriff in town and his name is jim mattis. I want to ask you about michael fli Michael Flynn, who was fired, it appears he did not disclose hundreds of thousands of dollars paid to him by the russian and turkish governments. And it was funded at the same time that russia was attacking through cybererattacks the u. S. Election. How do you explain this . I have said many times and i hate to be so repetition. This is a centipede and there will be more shoes to drop. I have seen these before and you too. There will be more revelations, there will be more revelations, there will be more and every time it is a more come belling argument for a select committee to examine all of the hactivitis that took place. Farce the general not reporting, i assume that is correct because it has been authenticated by the members of the intelligence committee. Should the president finally acknowledge that russia messed with the election. Not that he didnt deserve to win or didnt win, but that they are bad actors and right now theyre trying to do the same thing in france. I think the president understands that and now that he is president that there was attempts to interfere in our election, and i hasten to add there is no evidence they were able to affect the outcome of the election. But i think he understands that. I know our National Security team, general mcmaster and they understand it will and im glad the president seems to be taking their advice and council. Finally, i want to ask you about the tax package that is being proposed, address. It lo at leasted. It looks like it would blow a big hole. You voted against the bush tax cuts, how concerns are you about the impact on deficits if it becomes legislation and passes through reconciliation. Im concerned about it, but i also know that we have the highest Corporate Taxes on earth which is keeping a couple trillion dollars overseas. I would like to see that money come back and invested in infrastructure. I do not believe that just because we lower taxes it raises the deficit any more than i believe if we raise taxes too much and that increases revenues because there is a breaking point. I would like to see the details of this before i make a judgment, but im solidly behind reducing the Corporate Tax cut and i know there is a lot of other portions of this, but when we have the worlds highest Corporate Tax rate, it keeps a lot of money overseas that should be coming back to the United States of america. Senator john mccain, thank you so much, shirr. Coming up, grading the first 100 days. Well talk to an expert who has held nearly every job you can in washington. That is next. But imagine something new. At invisalign®, we use the most advanced teeth straightening technology to help you find the next amazing version of yourself. Its time to unleash your secret weapon. Its there, right under your nose. 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The only hotel where you can redeem loyalty points for a free nightinstantly and win at business. At President Trump counts down, he is facing a crisis in korea. He may also be facing one in iran. Joining me know is leon panetta. Chief of staff for president bill clinton, now chairing the Panetta Institute for Public Policy in monterey, california. Thank you for being with us. There is so many crisis on the president s plate. Lets start with north korea. John mccain just said it is time to really get china to deliver and he was very cautious about all of this talk about preemptive action. We didnt address it, but it is difficult with mobile missile launchers, the new Nuclear Facilities are under ground. What about preemptive military action or any military action giving the proximity of seoul, plus 25 Million People and our own forces below the dmz. There is a reason why our most recent president s have not pulled a trigger when it comes to north korea. It is because of the obvious consequences with regards to what they could do to seoul. A city of 20 to 25 million. And the fact that it could escalate into a nuclear war. That would take millions of lives as a result of that. So, it is clear that we have to continue to pressure china, look our strategy has to be one of containment and deterrence. And we have to up that game including our presence there. We have to support our allies. We have to increase sanctions against north korea, and we have to keep presh on china. In the past they put a little pressure on ben think and this backed away. We have to make sure they continue to put pressure on north korea sew they back off of the testing of Nuclear Weapons. The fact is that china and north korea could be sanctioned more. There is other secondary sanctions that could hurt china and maybe get their attention. I think that ought to be on the table for consideration. Because we have to make very clear that north korea, if they develop an icbm with some kind of miniaturized nuclear weapon, that represents a direct threat to the security of the United States. And it is unacceptable. So china needs to act here because this is a serious concern as john mccain pointed out. This is a very serious concern in terms of our National Security. Iran has been provocative in the persian gulf, challenging our ships. John mccain said we should not back done and even take a shot at them if they do it again. We have had these kinds of provocations over a number of years in the region because of the transport of our navy ships and a number of oil tankers that pass through the streets. So we have a presence there. We operate in international waters, so international air. But if iran comes in and does a p provocative act, you to make very clear to them that that is unacceptable. That we will not accept that kind of provocative act. For that reason, i think what the navy ship did recently indicates that they are entering a danger zone, and they are not to do that. We took the same steps with regards to making clear to them they ought not to go after our drones, largely in international airspace. The only way you deal with iran is drawing those kinds of lines and im glad they did that. An iranian diplomat met for the first time with a Trump State Department official, and yesterday was very tough about the president s comments and secretary tillersons comments about linking terrorism and other parts of the deal. The president eternally intervened to toughen up that Statement Last week. Are we provokes a crisis with iran which, arguably, we dont need at the same time as a crisis in north korea . Were dealing with a lot of flash points in the world, and it is important that the administration have a overall strategy for how they will deal with the flash points. You cant just reax ct to the crisis of the moment and call that a strategy. With regards to iran, i think that it is important to divide these issues up. We have a nuclear agreement, they have abided by it so far. I think it is important to separate that out, and dont try to indicate that that agreement ought to expand to other areas that were not included in the agreement. Having said that, we have concerned about hezbollah, iran, and terrorism in that region, and we ought to continue to put pressure on them with regards to that support. That ought to be handled separately from the work on enforcing the nuclear agreement. There has been an announcement about the withdrawing from nafta from the president now, is that a good idea . I think the administration is really struggling to figure out what their trade policy is. I know what the president said during the campaign about withdrawing from the trade agreements. We recognize that is dangerous, particularly for our economy, that we would do that. I thought that they recognized the importance of nafta and the need to strengthen nafta, but you cant just get away from it. You cant just walk away. It is part of a global world. We have to trade in a global world. Our economy will be damaged if we dont stand by the proposition that we need to be part of the trade effort in the world. I want to ask you about something that one of your successors, as chief of staff, Reince Priebus said the Senate Democrats are holding up confirmations, but they have nominated only 57 people for the 530 vacancies. Confirmed 26 and 37 more have been nominated. Is the hang up in the white house or the office of government ethics in the pipeline or on the hill. There is no question here that one of the Serious Problems facing the administration is the lack of appointed personnel. Were approaching 100 days, those names should have been considered. There is like 500 positions that have not been confirmed. They are complaining now about not having the appointees. The white house has to propose shoes names to the senate. Get the names up there. If they are trying to have them fall on the senate, but you cant blame them for acting if they dont have nominated names that have been proposed to the senate. It just doesnt make sense. And my reporting is that it is a trump loyalty test that he is imposing on the state agencies. Secretary tillerson is basically home alone. Let me ask you about the tax proposals, we hear about pick tax cuts for business down to 15 . What are your concerns about the deficit, or do you think it will spur growth. I think one of the real dangers to our economy right now is the size of the debt that we currently have, which is 20 trillion. According to cbo, assuming we dont do anything about it, that debt will double in the next few decades to 150 of our gdp. Our economy cant sustain that. I understand the need to try to provide some tax cuts, particularly on the corporate side. But we always had a proposition when i was chair of the budget committee, and head of omb, that if youre going to take those steps, pay for it. Dont add to the deficit. And this idea that growth can pay for these kinds of huge tax cuts is operating in fairyland. That just doesnt work, so if youre going to do a tax cut, then show how youre paying for it. Leon panetta, thank you so much. A man of all seasons and all jobs. Thank you for being with us. Absolutely. As we approach the 100 days, a field trip. The entire u. S. Senate traveling to the white house to the Old Executive Office building behind me today for a rare classified briefing on north korea. The top democrat senator ben cardon joining me here next. Ugh heartburn no one burns on my watch try alka seltzer heartburn relief chews. They work fast and dont taste chalky. Mmmmm. Amazing. I have heartburn. Alka seltzer heartburn relief chews. 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Not me somebody will get it. dog barking anyone can dream. Making it a reality is the hard part. From the b2 to the upcoming b21, Northrop Grumman stealth bombers give america an advantage in a turbulent world. And were looking for a few dreamers to join us. Andrea, sometimes things happen by accident. I believe that china has to understand that the United States of america cannot live with a situation where north korea has this kind of capability. Yes we have the ability to intercept the missiles but you cant totally rely on that. So lets get more on the field trip that senators are about to take. Ben cardon is the top democrat, and he is joining me now. Thank you very much. What would you do, what would you tell the president today to do about this threat from north korea . First, it is good to be with you. Im hoping to hear from the president his strategy. What is his game plan to keep north korea from continuing down this path and to avoid a military conflict. How do we change the occasion with north korea. I would suggest you to use economic pressure. What north korea wants is Economic Relief and security. So how is the United States using our leadership in the world to change the occasions in north korea so that we can get them inspectors on the ground, and ultimately prevent north korea from being a nuclear power. Your goal is to pressure them into negotiations. I think the only way this comes to a happy ending is if north korea changes their cou course. That is through economics, china can say question do it with isolation, or we can work with you to build your economy. China is your neighborhood. Theyre interested in making sure china stays secure. So we can take care of their needs if they change direction. The president , personally intervened, to rewrite the state Department Certification that iran was complying with the nuclear deal to toughen it up. Is that the right approach to iran . First of all, he is certified around the iran review act that iran is in compliance with the nuclear provisions of the nuclear agreement. He is also required, the president , so issue a certification next month as to whether or not it is in our National Security relief n. I did not see anything that causes me to be concerned. We will be aggressive against iran for its terrorism, for Ballistic Missile violations. But i urge the president that as long as iran is complying with the pneumon the pneumonia lar agreement, its in our best interest. You would not cancel the nuclear agreement, you would notify the rest of the world that were going to drop out and resanction it. Absolutely not. I voted against the agreement, and many of us recognize that it is an agreement and that we need to make sure it is complied with so iran never becomes a Nuclear Weapons state. So it is counter productive. They would just give a green light to iran. Senator ben cardon, thank you very much. 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Bill crystal is joining me now, he is editor at large of the weekly standard. First to you, bill, how concerning is it to a large portion of the Republican Base and democrats as well that there is no pay for any of this. I think that will be worrisome. I think they are going to worry about the debt and the deficit. Hoping you get more revenues is tricky. Some of the Corporate Tax cuts are good policy. Part of his family was wall street is doing fine and if you can who has done better in the last eight years, capital or labor . Capital is doing pretty well but labor not so well. I hope someone who is in favor of tax stimulus that they really have a tax cut for families, maybe a payroll tax, they will have trouble selling a purely Corporate Tax cut. The politics of this, sarah . I think if youre a pure free economic, you think corporate reform will bring jobs, lift wages, help workers, but it will take time to do that. I think donald trump will have to sell this very hard and he needs a win. Part of this is what exists for members of congress on the hill, heading into election in not that long, and donald trump. And right now donald trump needs a win if is in some ways more important that he get a victory in capitol hill than the specifics about what is in there. And the money for the tax cuts was supposed to come from the Health Package that was a big fail. The capital gets a voice, im struck at this white house, they dunce how congress is important in a way. Take the executive order that was struck down by the federal judge on the west coast for sanctuary cities. If you thought that was the right policy, if you thought it was the right policy to deprive them of funds, and politically popular to deprive them of funds, go to Congress Today and say we tried today che executive order. The white house doesnt think that way pi they dont think of it as an opportunity. If i was Chuck Schumer orny si pelosi, i would say fine, lets give the money to the working families in america. What kind of a deblat that be will that be on capitol hill . I think he will have trouble getting it through. And you know, thinking long term here, he cant afford another loss. And so i expect what is going to happen is this tax plan will end up getting paired down, they will need to figure out how to wrap a bow around it and call it a win. The standard deduction he is proposing, that may or may not be enough for the democrats in congress. Just to have a little fun with this, the white house puts out statements as does the state department after meetingin inin conversations with foreign leaders. He talks to Prime Minister tr u trudeaux. They put out a real report on what was discussed. But what struck me, we have seen the statements ahead of time, you agree ahead of time to put out vanilla statements, or if you really disagree, youre ready to litigate. Again, anyway, whatever the merits of the policy, it seems that you do not want a public fight with our largest trading neighbor to the north. Particularly before you go into negotiations on nafta. That was maybe the plan here. Laying down a marker before you renegotiate the trade pack. How does he walk back now . He said this is unfair. Now working on a negotiation, youre not letting this be a win win proposition. This with canadian lumber, it has been going on for a long time, it has been a long running dispute but it does seem odd to have it rolled out the day before you discuss a major tax plan. I think there is pressure on the 100 day mark. Bill crystal, sara fagen. Thank you so much. Coming up, now questions about Michael Flynn. That is next right here. Stay with us. Zlrchlgtsd it is time for the your business entrepreneur of the week. A teacher who loved makeup started creating tutorials for her friends, she created a product line and now she does 20 million in sales per year. 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House Oversight Committee leaders say that Michael Flynn, the fired National Security adviser, may have broken the law by failing to disclose foreign payments from turkey and russia. Congressman adam schiff is the top democrat on the committee joining me no. What did mike flynn do, what do you suspect he did . I think there are three legal questions concerning mike flynn, a couple of which have been raised by the government reform committee. Was he legally entitled or able to receive these payments from these russian entities in this turkish entity or as a general officer, was he prohibited from even receive thing money . Theres a second question about whether he failed to report this money on his security forms when he was doing his background check. And finally, an issue of whether he made false statements about any of his deal wgs tings with russians. Obviously, were interested to know whether any part of this involved russias influence campaign in the United States, both during and after the election. But those i think are the three questions surrounding mr. Flynn. Politico was reporting that the turkish organization, the turn iish people who paid him we backed by a russian oligarch. Is russia behind the turkish deal, as well . I dont know. Now that we know he received 500,000 from turkey, it explains something that mystified me. Right around the election, Michael Flynn wrote an oped where he called for the United States to turn over this turkish cleric who lives in the United States in pennsylvania, to the erdogan regime. He called for that without ever seeing any evidence suggesting that gullen was involved in the coup effort. That to me was a breathtaking request for him to make. Now we know he was being paid to propagate this opinion. So i find that very deeply disturbing. Congressman, is it credible as was indicated by sean spicer, that they dont have any paperwork on mike flynn . Well, it sounds like from their response that they do have paperwork for Michael Flynn, that they werent willing to give it to the government reform committee. They should provide it. Whats more, they should provide the intelligence committee. Part of the justification they gave is the information was classified that. Obviously is not a bar to them providing that information to the intelligence committee. I think it would assist our efforts, and i hope they will comply. And are you going to have public hearings with sallyuates . I kn sally yates . Weve invited her and directors brennan and clapper to testify in an open session in public. So were still in the process of looking at dates for that, as well as trying to coordinate our actions with the senate, which is also has an interest from hearing at least some of these witnesses. We plan to go forward with open hearings, and were in the process of talking to witnesses how to make that happen. In a word, are you satisfied that between the fbi and your committees youre moving quickly enough . Were never moving quickly enough from my point of view, but we are, i think, back on track, which is very positive. Had a very productive meeting with my counterpart, who is very serious about getting us on a nonpartisan footing. So we are scheduling witnesses, not only the open hearings that were talking about, but were going to be scheduling individual witnesses, witnesses to come forward to be deposed by the committee. I would feel far more comfortable, though, if in addition we had a fully independent commission that was staffed well enough, focused on this, completely removed from the political process. That ought to be not instead of what were doing but in addition to what were doing. Thank you very much, adam schiff. Well have to leave it there. Well be right back. 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