House Narrowly Passes Trump's Massive Fiscal Reform

In a dramatic late-night push, the U.S. House of Representatives passed President Donald Trump’s sweeping $4.5 trillion tax and spending package on Thursday, marking a significant victory for his second-term agenda.

According to Newsmax, the bill, passed by a razor-thin 218-214 margin just before a Fourth of July deadline, encapsulates major tax breaks, deep spending cuts, and key Republican priorities amid fierce Democratic opposition.

The legislative journey began earlier in the week when the Senate approved the measure, with Vice President JD Vance casting the decisive tie-breaking vote. With Republican control of Congress hanging on slim majorities, the Senate passage set the stage for a contentious battle in the House. Internal disagreements among Republicans in both chambers revealed fractures, as moderates worried about harsh cutbacks while conservatives demanded even steeper reductions.

Intense GOP Efforts to Secure Votes

In the House, the narrow majority left no room for error, with the bill repeatedly passing by just one or two votes in earlier stages. House Speaker Mike Johnson, R-La., relied heavily on White House officials, including Cabinet secretaries and legal advisors, to sway hesitant GOP members. Promises of executive actions and tailored provisions for specific districts were used to address concerns among skeptical Republicans.

Trump’s Push for the Deadline

President Trump himself played a pivotal role, personally engaging with wavering lawmakers to secure their support for the bill. He set a personal goal to see the measure passed by Friday, aligning with a symbolic Fourth of July deadline. In a midnight social media post, Trump urged action, writing, “What are the Republicans waiting for???”

Democratic Resistance with Record Speech

Opposition from Democrats was fierce and unified, with no member of the party voting in favor of the package. Democratic leader Hakeem Jeffries of New York took an extraordinary stand, delivering a record-breaking speech on the House floor against the bill. Starting at 4:53 a.m. EDT and ending at 1:37 p.m. EDT, Jeffries spoke for 8 hours and 44 minutes to delay the vote.

Jeffries’ Harsh Criticism of Legislation

During his marathon address, Jeffries condemned the measure, saying, “We’re better than this.” He continued, “I never thought that I’d be on the House floor saying that this is a crime scene.” Jeffries added, “It’s a crime scene, going after the health, and the safety, and the well-being of the American people.”

Details of the Massive Policy Package

The 800-plus-page bill, often called Trump’s “one big beautiful bill,” covers a wide range of Republican policy goals. It includes $4.5 trillion in tax relief, preserving cuts from 2017 that were set to lapse, alongside new deductions for tips, overtime pay, and a $6,000 break for many seniors earning under $75,000. Additionally, it allocates $350 billion for national security initiatives, Trump’s deportation plans, and a new “Golden Dome” defense system over the U.S.

Deep Cuts to Offset Tax Relief

To balance the tax reductions, the bill imposes $1.2 trillion in cutbacks to programs like Medicaid and food stamps. New work requirements for certain parents and older individuals are introduced, alongside a significant reduction in green energy tax incentives. These cuts target policies from previous Democratic administrations, including Medicaid expansions under President Barack Obama and climate initiatives from President Joe Biden.

Projected Impacts on Deficit and Coverage

The Congressional Budget Office has projected that the package will increase the federal deficit by $3.3 trillion over the next decade. It also estimates that 11.8 million Americans could lose health coverage as a result of the Medicaid reductions. Democrats have warned that slashing Medicaid, which supports 80 million people, and food stamps, aiding over 40 million, could have devastating consequences.

Democratic Warnings of Dire Consequences

Jeffries highlighted the potential harm, stating, “Rip food from the mouths of hungry children, hungry veterans and hungry seniors.” He also declared, “We want no part of it.” Democrats argue that the cuts could lead to loss of life and severe hardship for vulnerable populations. Republicans, however, contend that the tax breaks will avert household tax increases and drive economic growth. They also aim to refocus safety net programs on core groups like pregnant women, the disabled, and children, while curbing waste and fraud. House Speaker Johnson emphasized the bill’s importance, saying, “We have a big job to finish.”

GOP Leaders Celebrate Historic Reforms

Johnson added, “With one big beautiful bill we are going to make this country stronger, safer and more prosperous than ever before.” Rep. Jodey Arrington, R-Texas, House Budget Committee Chairman, hailed the measure as a landmark achievement. He stated, “This was a generational opportunity to deliver the most comprehensive and consequential set of conservative reforms in modern history, and that’s exactly what we’re doing.”

Tax Break Disparities Across Income Levels

The Tax Policy Center projects varied impacts from the tax provisions, with the lowest income quintile receiving a $150 break next year. The middle quintile is expected to see a $1,750 reduction, while the top quintile could gain a substantial $10,950 cut, compared to if the 2017 tax relief had expired. These figures highlight the differing benefits across income brackets under the new legislation.

Political Fallout for GOP Opponents

Despite the bill’s passage, not all Republicans were on board, with two House members joining Democrats in opposition. Rep. Thomas Massie of Kentucky and Sen. Thom Tillis of North Carolina, who opposed the measure, faced backlash from Trump’s influential political network. Sen. Tillis, following his stance against the bill, announced he would not seek reelection. After intense negotiations and overnight efforts by GOP leaders, the House vote of 218-214 on Thursday secured the bill’s passage. The tight margin underscored the challenges of maintaining party unity on such a sweeping and controversial measure. With final congressional approval achieved, the bill now stands as a cornerstone of Trump’s policy vision for his second term.

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