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Australia

Senate passes massive US tax cut and spending bill

2 July 2025 12:38 | News

The US Senate republicans have passed a package of President Donald Trump’s big tax cut and spending bill with narrowest margins, cut off taxes, reduce social security network programs and increase military and immigration application expenditures.

The legislation is now going to the House of Representatives for possible final approval, but a handful of republican there expressed opposition against the provisions of some Senate.

Trump wants to sign the law until the 4th of July Independence Day holiday, and Parliament Speaker Mike Johnson said he aims to meet this deadline date.

The tax reduction and expenditure legislation led to concerns about enlarging America’s national debt. (AP Photo)

The measure will expand Trump’s 2017 tax cuts, give new tax cuts from the income and overtime fee obtained from tips and increase expenditures on military and immigration practices.

In addition, the Medicaid Health Program would cut about $ 930 billion (A1.4 trillion dollars) and food aid for low -income Americans, and to repel most of the former democratic former president Joe Biden’s green energy incentives.

The legislation, which devotes the Republican to the country’s rapidly growing debt of $ 36.2, will increase the federal government’s own imposed debt ceiling 5 trillion dollars. Congress should raise the border or destructive default in the coming months.

Senate, Thom Tillis from three Republican-North Carolina, Thom Tillis from Maine, and Rand Paul-Tasaria from Kentucky, joined 47 Democrats after joining a tie and 51-50 votes.

President Donald Trump
Donald Trump’s republicans struggled to balance conservative demands and moderate concerns. (AP Photo)

The vote watched all night discussions that the Republicans struggled with the price tag of the bill and the impact of the US health system.

It is likely that the votes in the house, where Republicans have 220-212 majority, will be close.

A White House official told journalists, Trump’s Republicans would “deeply be involved” in pushing the bill to confirm the bill.

“This is a great bill. There is something for everyone, Tr Trump said at an event in Florida on Tuesday. “And I think it will go very well at home.”

The Republicans struggled to balance their demands for deeper expenditure cuts to reduce the effect on the deficit with the concern that conservatives could harm their components, including service outages of Medicaid cuts, including service outages in rural areas.

Democratic Home Leader Hakeem Jeffries
Democrat House leader Hakeem Jeffries calls this the biggest attack on the nutrition in American history. (AP Photo)

A group of more moderate parliamentary republicans, especially those representing low -income areas, objected to the more upright Medicaid cuts in the Senate’s plan.

The legislation also received criticism from the former Trump ally Elon Musk, a former Trump ally Elon Musk, who was frightening against the tremendous cost of the bill and promised to support the rivals in the midterm elections next year.

The democrats of the Assembly are expected to be unanimously against the bill.

The democratic leader Hakeem Jeffries told reporters, “the biggest attack on American health services on this history,” he said. “The biggest attack on nutrition in American history.”


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