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Cramer's tip to House GOP: Get out of health care and focus on tax reform

President Donald Trump and House Republicans should cut and run from health care and focus on tax reform, CNBC's Jim Cramer said Friday.

The House is set to vote Friday on a bill backed by Trump and House Speaker Paul Ryan to repeal and replace former President Barack Obama's Affordable Care Act. The bill is being vigorously opposed by conservative hardliners and moderates.

Cramer said even if the bill passes Friday, it will move on to the Senate and debates will likely ensue for at least seven months. That means a longer wait for a major tax overhaul, he said.

"The Senate will not like this bill," Cramer said on "Squawk on the Street." "Get this thing out of here. ... The best thing that could happen is that we would be talking about tax reform."

During an Axios event in Washington on Friday, Treasury Secretary Steven Mnuchin said he will push for "comprehensive" tax reform by Congress' August recess.

Lower tax rates was a major hallmark of Trump's agenda during his presidential campaign. Investors have had doubts about the time frame for a tax proposal, with some not expecting reform until next year.

Mnuchin said Friday Trump's objective for tax reform is a tax cut for the middle class, not the top 1 percent.