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@ReutersLegalThe Republican-controlled U.S. House of Representatives passed President Donald Trump's massive tax-cut and spending bill on Thursday.
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House Narrowly Passes Trump’s $4.5 Trillion Tax-and-Spending Bill
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The Republican-controlled U.S. House of Representatives on Thursday approved President Donald Trump’s sweeping $4.5 trillion package of tax reductions and spending cuts, clearing the final legislative hurdle and sending the measure to the White House for signature.
The 800-plus-page bill makes permanent the individual and business tax rates first enacted in 2017 and adds new breaks, including deductions for tips and overtime pay and a $6,000 credit for many older taxpayers. It directs about $350 billion to defense and immigration enforcement while trimming roughly $1.2 trillion from Medicaid and food-assistance programs and rolling back several clean-energy incentives.
According to the Congressional Budget Office, the legislation will widen federal deficits by an estimated $3.3-$3.4 trillion over the next decade, pushing total public debt toward $36 trillion. Fitch Ratings expects the general-government deficit to top 7% of GDP next year and debt to approach 120% of GDP by 2026.
Passage came on a razor-thin 218-214 vote, with two Republicans joining all Democrats in opposition after an overnight lobbying push by House Speaker Mike Johnson and the president to meet Trump’s self-imposed July 4 deadline. Democratic leader Hakeem Jeffries held the floor for a record 8-hour-44-minute speech against the bill. The Senate approved the package earlier this week, with Vice President JD Vance breaking a 50-50 tie, positioning the measure to become the signature domestic achievement of Trump’s second term once he signs it on Friday.
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