19 days ago
Updated 18 days ago
House Passes Deficit-Expanding Tax Bill Amid Sharp California Opposition
House Passes Deficit-Expanding Tax Bill Amid Sharp California Opposition

House Passes Deficit-Expanding Tax Bill Amid Sharp California Opposition

News summary

The U.S. House of Representatives narrowly passed the "Big Beautiful Bill," a sweeping budget and tax plan backed by former President Donald Trump that includes significant tax cuts, Medicaid and SNAP reductions, stricter border security, and changes to clean energy credits. The bill extends the 2017 tax cuts, eliminates taxes on tips and overtime, and raises the state and local tax deduction cap, which benefits many taxpayers in states like California and Montana. However, Democrats strongly oppose the bill, arguing it disproportionately benefits wealthy individuals while cutting vital health care and social programs, making it harder for vulnerable populations to access Medicaid and clean energy incentives. California Democrats unanimously voted against the bill, highlighting concerns about its impact on Medi-Cal and low-income residents, while California Republicans supported it citing tax relief and economic growth. Montana Republicans, including former Interior Secretary Ryan Zinke, praised the bill for delivering permanent tax relief, protecting public lands, and enhancing border security. The bill now faces further debate and potential modifications in the Senate before it can become law, with key discussions expected on its fiscal impacts and program changes.

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