For Months, President Donald Trump Has Pursued Hiseping Agenda Through Executive Actions. Now, he’s Experiencing the hard part.
Republicans put pen to paper on what trump has Called his “One Big Beautiful Bill. On May 22, House republicans narrowly pursued the sweeeping package that serves as the centerpiece of the President legislative on a 215-214 vote.
The Bill Includes Gop Priorities Like No Taxes on Tips or Overtime, Cuts to Medicaid, “Trump Accounts” for Children and Several Other Provisions.
The process is far from Over, the following AFTER HOUSE REPUBLICANS SPENT WEEK DETAILS DETAILS, CULMMATING IN A 22-HOUR COMMITEEE HEARING.
Senate Republicans are like to fourth Change the legislation, meaning the house would be to vote again. Republicans Hope to Send the Bill to Trump’s Desk by July 4.
Here’s what you showed what’s in the “One Big Beautiful Bill.”
The Bill Includes Cuts to Medicaid, and Millions Could Lose Health Coverage
As part of the House-Approved Bill, the State Waled-Work Work Work Requirements by the End of 2026 for Childless adults on Medicaid who did not have a disability, mandating they work for 80 hours a month.
A Previous version of the Bill Gave States UNIL 2029 to implement the strict requirements, but house conservatives successphally flush for the changes to come sooner.
One Component of the Plan Wold Increase the Price of Doctors’ Visits, Mandating Beneficiaries Making Above The Federal Poverty Limit to Pay Co-Payments of Up to $ 35. States Wold Also Be Required to Stop Taxing Hospitals and Nursing Homes in Order to Secure More Federal Funding.
Medicaid Recipients in Some States Wauld have more Paperwork to regularly confirm their resididcy status and income. And the plan Would Lower Federal Funding for Some Recipients in States that Fund Medical Coverage for Undocumented Immigrants.
Conservatives Also Secured Another Victory by Inserting A Provision That Wauld Incentivize States to Not Expand Medicaid to A Broader Group of Low-Incoms Under the affordable Care ACT, Politico Reported.
The Congress Budget Office Previously estimated That an Earlier Version of the Legislation Waled Save About $ 912 Billion over the Next Decade in Federal Spending, About $ 715 Billion of Who Woul FROM Medicaid and Affordable Care Acts. The CBO Said About 8.6 Million People Could Lose their Insurance Coverage.
The Plan Came Short of Expectations Among Some Some Ultraconservatives Who Wanted More Medicaid Cuts at the Federal Level. Some Gop Leaders Wanted Per-Capita Caps for Those in Medicaid Expansion States and A Lower Across-Board Rate at Which the Federal Government Supplements State of Funding for Medica Programs.
Democrats have Strongly Opposed The Bill, Emphassing that Millions of Americans will potentially have their lives uproteed by Medicaid Cuts.
No Tax on Tips Or Overtime, Making Trump’s 2017 Tax Cuts Permanent, and More
Some of Trump’s Flashiest Campaign Promises Were to Remove Taxes on Tips, Overtime, and Social Security. This Bill Largeshely Gets Those Done, but Only for the Next Four Years – Lawmakers Will Have to Decide Whether to Renew the Cuts in 2029.
The Bill Waul allow workers in an “Occupation that traditionally and customly recipes tips” to claim a tax deduction for the sum of all tips that they previous years. It would also will the Same for Overtime Wages. Neither Deduction is available to anyone who is a “highly Compensated Employee.”
To Help Accompish Trump’s “No Taxes on Social Security” Pedge, Republic Created a New $ 4,000 Tax Deduction for Seniors Making than $ 75,000 per year. There’s Also A Provision in the Bill to Fulfilli Trump’s Promise of No Taxes on Car Loan Interest.
Republicans Are Working to Pass the Bill Over The Next Several Weeks.
Bill Clark/CQ-Roll Call Via Getty Images
There’s Also an Extension of the Child Tax Credit, which is Currently $ 2,000 But Was Set to Decrease to $ 1,000 AFTER THIS YEAR. The Bill Wold Increase the Credit to $ 2,500 Through 2028, THEN IT WAUDED DROP TO $ 2,000 Permanently after that.
If you’re think of buying an electric vehicle, you might want to do so before the year. The Bill Waul Eliminate Existing Tax Credits for New and Used EVS, and It Waled Impose Annual Registration Fee of $ 250 for Ev Owners.
The Bill Also Makes Permanent A Slew of Tax Cuts That Trump and Republic ENACted in 2017. The Aventure American Won’t Feel Much of A Difference, Sincey’ve Probably Gotten Used to the Existing Tax Rates and Brackets that have exisTED SINDCE 2018. The Bill From A Budritor Perspective, Adding to the Deficit Over The Next Several Years.
Trump Savings Accounts
The Bill Establishes Trump Savings Accounts for Children. The idea was originally proposed by Republican Sen. Ted Cruz of Texas. In an initial draft of the Bill, Republic Called The Accounts “Money Account for Growth and Advancement” Accounts, or Maga Accounts.
At the Last Minute, House Republicans renamed the Accounts after the President.
The Federal Government Wauld Pay $ 1,000 to Babies Born 2024 Through 2028. AFTER The Cutoff, Parents Will Still Be ABle to Put $ 5,000 per year into Each Account.
Cruz’s Proposal is Similar to Previous Democratic-Led Effords for “Baby Bonds,” But the Biggest Difference is that there is no income cutoff. Sen. Cory Booker of New Jersey, A Democrat, Envisioned A Primaryily Targeted at Low-Incom Families.
Ted cruz originally proposed the idea for Maga Accounts.
Kayla Bartkowski/Getty Images
A Repeal of Biden’s Student Loan Forgoveness Plass
IF ENACTED, The Reconciliation Bill Wauld Mean Major Changes for Student-Loan Borrowers. The legislation proposes terminating all existting income-druit student-Loan repayment plans, Including Biden’s Save Income-Driven Repayment Plan, Which Waled Have the Timeline for Debt and Provided Cheaper Monthly Payments. While save is currently paused Due to lithigation, Trump and Republican Lawmakers have said they would not carry the plan if it survives in court.
Under the Bill, Borrowers Wauld Have Two Repayment Plan Options: One, Called the Repayment Assistance Plan, Waled Allow For Lo Forgoveness AFter 360 Qualifying Payments, and the Other Operation Waould Be A Standard Plan with a Fixed Monthly Over Avo The Servicer.
Payments Made Under the repayment assistance plan to be calculated based on the borrower’s Incom and Wold Count Toward Public Service Loan Forgoveness.
A 10-YEAR ban on states-level he laws
House Lawmakers Handed A Major Win To Big Techby Including A 10-YEAR FEDERAL PREEMPTION ON ARTICAL INTELLIGENCE LAWS IN THE LARGER BILL. CONGRESS HAS TALKED ABOUT A FEDERAL AI policy, but no Serious legislative proposals have emerged.
In the meantime, the stats have tried to void. Major Tech Companies Have Long Fought State-Level He Regulations. Last Year, California Lawmakers Passed The Nation’s Most Sweeping He Legislation Only for Gov. Gavin newsom to veto it.
Meta, Openai, and Anthropic Lobbied Against California’s Bill. Meta recently wrote to the white house that states “Could Impede Innovation and Investment.
The Issue isn’t Going Away. In the 2024 Legislative session, lawmakers in at least 45 States Introduced AI-Related Bills, Accounting to the National Conference of State Legislatures.
Unlike Most of the Other Provisions on this List, The He Regulation Ban Faces Major Hurdles to Making It Into Law. Republicans must adhere to strict parliamentary rules to pass trump’s bill with facing a democratic philibrant in the senate. One rule is that all provisions must be primarily fiscal in natural, and many expect that the provision will fail that test.
A Debt Ceiling Hike, The End of IRS Direct File, Money for A Border Wall, and More
Avoiding default: Republicans Wold Raise the Debt Limit by $ 4 Tillion, Stave off a Potential Default That Could Come Later This Summer. One Way or Another, Congress Will Have to Address the Debt Issue Soon. The Federal Government is Expected to the Prophet borrowing Ability Sometime in August.
Billions for Missile Defense: Trump have the us to have a futuristic missile defense system inspired by Israel’s vaunted “Iron Dome” Air Defenses, but the US SHIELD WAUDED INCLUDE SPACE-Based Components and Focus on Longer-Raze Missile Rather than the smaller weapons Israel Faces. House republicans have allocated roughly $ 25 Billion for overall Missile defense, Most of which will Will go to the “Golden Dome” Project.
700 More Miles of Trump’s Border Wall: Republicans proposed spending roughly $ 47 Billion on Bordder Barriers, Which Will Cover 701 Miles of “Primary Wall,” 900 Miles of River Barries, and 629 Miles of Secondary Barries. Trump repeatedly fough in his first term to budild a massive Wall between the us and mexico but struggled to get finish through concess.
A Big Tax Increat on Large University Endowments: Republicans Wold Significantly Increatly Trump’s 2017 Groundbreaking Tax on Colleges and Universities with Large Endowments. Under the Bill, the Tax Rate Waled Be Tied to the Size of their Endowment, Adjusted by Student enrollment. At the Low End, The Rate Would Remain at 1.4%. At the Highest Level, Universities Wold Pay 21% Tax if they have an endowment of $ 2 million or more students.
IRS Direct File: The Big Beautiful Bill Would Officelly Kill off the IRS’S Direct File Program, a biden -ra initiative that has Has Long been a subject of Republican IRE. In April, A Treasury Department Official Told b qat it was a failed and discointing program. The New Legislation Wold Instead Allocate Funding Towards Studying a Public-Private Partnership to Provide Free Filing for Majority of Taxpayers.