Trump's Budget Bill with $4.5T in Tax Cuts Advances Despite GOP Infighting
A comprehensive budget bill supported by President Donald Trump, which includes $4.5 trillion in tax cuts, has passed a key hurdle in the House Budget Committee.
A comprehensive budget bill backed by President Donald Trump, featuring $4.5 trillion in tax cuts, has successfully passed a critical hurdle in the House Budget Committee with a party-line vote of 21 to 16. The bill, which also includes directives for spending cuts and increased allocations for border security, national defense, and the judiciary, is set to be taken up by the full House later this month.
The 45-page resolution mandates that various House committees identify at least $1.5 trillion in spending cuts, while allocating $300 billion for new spending in key areas. Additionally, it directs $4 trillion towards raising the debt limit and extends Trump’s 2017 Tax Cuts and Jobs Act (TCJA) for the next decade.
Navigating GOP Infighting
Despite initial disagreements within the Republican party, particularly from conservative spending hawks, an amendment was agreed upon to address concerns about spending cuts. This amendment ensures that if spending cuts fall short of $2 trillion, the tax allocation will be reduced accordingly. Conversely, if cuts exceed $2 trillion, the tax cut allocation will be increased.
The House Budget Committee’s Chairman, Jodey Arrington, emphasized the importance of this amendment in securing the bill’s passage. The Senate, however, passed a narrower version of the bill, focusing on border and defense funding but leaving tax cuts for a separate package, which has been labeled a “nonstarter” by House Speaker Mike Johnson.
Next Steps and Challenges
The passage of the budget resolution is just the first step in a complex legislative process. The bill must now be reconciled with the Senate’s version, and both chambers must pass identical legislation before it can be sent to President Trump for his signature.
With slim majorities in both the House and Senate, Republicans can afford little dissent within their ranks. The budget bill represents a significant effort to advance Trump’s policy priorities, but its success will depend on the party’s ability to maintain unity and navigate the legislative process effectively.