The Republican-controlled U.S. House of Representatives on Thursday passed a sweeping tax and spending bill that would enact much of President Donald Trump's policy agenda and saddle the country with trillions of dollars more in debt.
The bill, passed by a single-vote margin, would fulfill many of Trump's populist campaign pledges, delivering new tax breaks on tips and car loans and boosting spending on the military and border enforcement.
The package passed in a 215-214 vote after a marathon push that kept lawmakers debating the bill through two successive nights.
What Trump has dubbed a "big, beautiful bill" now heads to the Senate, which Republicans control by a 53-47 margin.
The 1,100-page bill would extend corporate and individual tax cuts passed in 2017 during Trump's first term in office, cancel many green-energy incentives passed by Democratic former President Joe Biden and tighten eligibility for health and food programs for the poor.
It also would fund Trump's crackdown on immigration, adding tens of thousands of border guards and creating the capacity to deport up to 1 million people each year. Regulations on firearm silencers would be loosened.
JPMorgan Chase (JPM.N), opens new tab Chief Executive Jamie Dimon told an investor conference in Shanghai that he supported the bill, but acknowledged, "it'll probably add to the deficit."
Hardliners on the party's right flank had pushed for deeper spending cuts to lessen the budget impact, but they met resistance from centrists who worried that would fall too heavily on the 71 million low-income Americans enrolled in the Medicaid health program.
Johnson made changes to address conservatives' concerns, pulling forward new work requirements for Medicaid recipients to take effect at the end of 2026, two years earlier than before. That would kick several million people off the program, according to the CBO. The bill also would penalize states that expand Medicaid in the future.
Johnson also expanded a deduction for state and local tax payments, which was a priority for a handful of centrist Republicans who represent high-tax states like New York and California. The new limit of $40,000 would overwhelmingly benefit the wealthiest households, according to the nonpartisan Committee for a Responsible Federal Budget.
https://www.reuters.com/world/us/us-house-republicans-set-pre-dawn-votes-get-trump-tax-bill-over-finish-line-2025-05-22/