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By Shane Croucher
Senior Editor
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President Donald Trump hailed the House's narrow passage of his vast tax and spending bill, and told the Senate to send it to his desk for signing "AS SOON AS POSSIBLE!"
In a razor-thin 215-214 vote, the Republican-led House pushed through the more-than-1,000-page bill after days of tense negotiations among deeply divided GOP factions.
Trump called it "arguably the most significant piece of Legislation that will ever be signed in the History of our Country!" in a post on Truth Social.
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Why It Matters
The bill faces similar challenges in the Senate, where Republicans are also divided on issues such as cuts to Medicaid and the impact of the tax cuts on the deficit, which is set to widen as a result, adding massively to America's vast pile of federal debt.
It is the centerpiece of Trump's domestic agenda, combining a number of his priorities and a financial package he says will bring about a new age of prosperity by fuelling economic growth that will pay for the tax cuts it contains.
Many economists are skeptical, and the markets for U.S. Treasuries are pricing in fiscal trouble down the road as the debt balloons, concerns reflected in Moody's recent historic downgrading of America's once pristine credit rating.
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What To Know
Trump pointed to swathes of tax cuts—including none on tips or overtime—a $1,000 savings account for newborn babies, as well as funding for his border security initiatives and the "Golden Dome" anti-missile shield, in his Truth Social post.
"Great job by Speaker Mike Johnson, and the House Leadership, and thank you to every Republican who voted YES on this Historic Bill!" Trump wrote.
"Now, it's time for our friends in the United States Senate to get to work, and send this Bill to my desk AS SOON AS POSSIBLE! There is no time to waste."
To help offset the anticipated revenue shortfall, estimated at roughly $3.8 trillion, the bill would repeal or fast-track the expiration of clean energy tax credits enacted under President Joe Biden. That rollback substantially reduces the net cost of the package.
What People Are Saying
Rep. Hakeem Jeffries, leader of the House Democrats, said his party's lawmakers in the chamber voted unanimously "to stop the largest cuts to Medicaid and food assistance in American history," calling the bill the "GOP Tax Scam".
"House Republicans promised to lower costs. Instead, Donald Trump's One Big Ugly Bill will mean millions of families will pay higher premiums, copays, and deductibles," Jeffries said in a statement.
"Hospitals will close, nursing homes will shut down and communities will suffer. It will take food out of the mouths of children, seniors and veterans at a time when too many families are already struggling to live paycheck to paycheck."
He added: "This fight is just beginning, and House Democrats will continue to use every tool at our disposal to ensure that the GOP Tax Scam is buried deep in the group, never to rise again."
What's Next
The next stop for Trump's bill is the Senate. Some Republicans have expressed concern about various elements of the package, so it may face a similar round of negotiations and obstacles as in the House, though the Senate has a bigger GOP majority.
This article includes reporting from The Associated Press.
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