House Conservatives Demand Changes in Senate Review of Trump Tax Bill

Fiscal conservatives in the House Freedom Caucus are pushing for significant changes to President Trump's $3 trillion 'One Big Beautiful Bill' economic package, particularly demanding deeper spending cuts to offset nearly $3.7 trillion in projected tax cuts over the next decade. The bill narrowly passed the House by a 215-214 vote and is now under Senate consideration, where Senate Republicans plan to propose revisions to tax and health care provisions, including potential savings from Medicaid and possibly Medicare programs. Key points of contention include a $40,000 limit on state and local tax (SALT) deductions, which Senate Republicans want to scale back, despite warnings from House leaders that weakening the SALT cap could imperil final passage. Additionally, the Senate Finance Committee is expected to propose making certain business tax breaks permanent, a departure from the House bill that sunsets them after 2029. The ongoing negotiations highlight tensions between fiscal conservatives and moderates within the Republican Party as they seek to finalize the legislation before the July 4 deadline. Despite some public criticism, including from figures like Elon Musk, GOP leaders and the White House are actively working to address concerns and secure the bill's enactment.