logo
Trump tax-cut plan returns to US House, Republicans divided on bill

Trump tax-cut plan returns to US House, Republicans divided on bill

Time of India19 hours ago
Live Events
(You can now subscribe to our
(You can now subscribe to our Economic Times WhatsApp channel
The debate within President Donald Trump 's Republican Party over a massive tax-cut and spending bill returns to the House of Representatives on Wednesday, as party leaders try to overcome internal divisions and meet a self-imposed July 4 deadline.The Senate passed the legislation, which nonpartisan analysts say will add $3.3 trillion to the nation's debt over the next decade, by the narrowest possible margin on Tuesday after intense debate on the bill's hefty price tag and substantial cuts to the Medicaid health care program.Similar divides exist in the House, which Republicans control by a 220-212 margin and where a fractious caucus has regularly bucked its leadership in recent years -- though members have so far not rejected major Trump priorities."The House will work quickly to pass the One Big Beautiful Bill that enacts President Trump's full America First agenda by the Fourth of July," House Speaker Mike Johnson said in a statement on Tuesday, citing the bill's extension of Trump's 2017 individual tax cuts and increased funding for the military and immigration enforcement.House Republican leaders set an initial procedural vote on the bill for 9 a.m. ET (1300 GMT).Some of the loudest Republican objections against it come from party hardliners angry that it does not sufficiently cut spending and a $5 trillion increase in the nation's debt ceiling, which lawmakers must address in the coming months or risk a devastating default on the nation's $36.2 trillion debt."What the Senate did was unconscionable," said Representative Ralph Norman, a South Carolina Republican, one of several fiscal hawks who spoke out against the Senate bill's higher price tag, accusing the Senate of handing out "goodie bags" of spending to satisfy holdouts.Norman said he would vote against advancing the bill on Wednesday.Democrats are united in opposition to the bill, saying that its tax breaks disproportionately benefit the wealthy, while cutting services that lower- and middle-income Americans rely on. The nonpartisan Congressional Budget Office estimated that almost 12 million people could lose health insurance as a result of the bill."This is the largest assault on American healthcare in history," Democratic House Minority Leader Hakeem Jeffries told reporters on Tuesday, pledging that his party will use "all procedural and legislative options" to try to stop - or delay - passage.The version of the bill passed by the Senate on Tuesday would add more to the debt than the version first passed by the House in May and also includes more than $900 million in cuts to the Medicaid program for low-income Americans.Those cuts also raised concerns among some House Republicans "I will not support a final bill that eliminates vital funding our hospitals rely on," Representative David Valadao of California said before Senate passage.Timing difficultiesBut some House Republicans worried about social safety-net cuts could find solace in the Senate's last-minute decision to set aside more money for rural hospitals, funding that Representative Nick Langworthy, a New York Republican, called "a lifeline that will be very helpful to districts like mine."Any changes made by the House would require another Senate vote, making it all but impossible to meet the July 4 deadline.Further complicating the timeline, a wave of storms in the Washington area on Tuesday night canceled flights, and some lawmakers from both parties detailed on social media plans to drive from their home districts to the Capitol for Wednesday's expected vote.A senior White House official said on Tuesday that Trump is expected to be "deeply involved" in the whip operation this week.Trump for weeks has pushed for passage ahead of the July 4 Independence Day holiday, though he has also in recent days softened that deadline, describing it as less than critical.Any public opposition to the bill risks irking Trump, as was the case when the president slammed Senator Thom Tillis, a North Carolina Republican who announced his retirement after coming out in opposition to the bill.Another former Trump ally, the world's richest person Elon Musk, this week resumed an active campaign against the bill over social media, blasting its deficit-building effects. That has reignited a feud between Trump and Musk.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Israel-Hamas ceasefire: Trump touts but Gaza truce still has stumbling blocks
Israel-Hamas ceasefire: Trump touts but Gaza truce still has stumbling blocks

First Post

time34 minutes ago

  • First Post

Israel-Hamas ceasefire: Trump touts but Gaza truce still has stumbling blocks

The two sides have publicly rejected the other's red lines, making compromise difficult even as humanitarian pressure mounts. Trump and international mediators push for a breakthrough, but mutual distrust and shifting priorities are complicating negotiations read more Women embrace, while mourning loved ones, during the funeral of Palestinians killed by Israeli fire yesterday, as they sought aid in northern Gaza, according to Gaza's health ministry, at Al-Shifa Hospital, in Gaza City. Reuters Hamas has not yet agreed or denied a 60-day ceasefire proposal by the US that President Donald Trump has said Israel has accepted, although Prime Minister Benjamin Netanyahu has not publicly addressed it. It is this lack of overall communication and negotiation that is stalling peace in Gaza. Despite US mediation, Israel and Hamas remain at odds over key conditions for a proposed 60-day cease-fire and hostage release deal. The two sides have publicly rejected the other's red lines, making compromise difficult even as humanitarian pressure mounts. Trump and international mediators push for a breakthrough, but mutual distrust and shifting priorities, like Israel's potential focus on rescuing hostages over military victory, are complicating negotiations. STORY CONTINUES BELOW THIS AD 'Eager to resume talks' Meanwhile, Israeli Foreign Minister Gideon Saar has said that the country is eager to resume negotiations with Hamas over a ceasefire agreement 'as soon as possible'. 'There are some positive signs. But our goal is to begin proximity talks as soon as possible,' Saar told reporters, referring to the details of the ceasefire that still need to be agreed upon through diplomacy. At the same time, Prime Minister Benjamin Netanyahu on Wednesday vowed to eradicate Hamas. 'We will free all our hostages, and we will eliminate Hamas. It will be no more,' he said. Hamas said in a statement that it was studying the latest proposals and aiming 'to reach an agreement that guarantees ending the aggression, achieving the withdrawal (of Israeli forces from Gaza) and urgently aiding our people in the Gaza Strip'. Possible terms of the deal A Palestinian source familiar with the ongoing mediated negotiations told AFP that the new proposal on the table shows 'no fundamental changes' compared to earlier terms presented by the United States. This suggests that the underlying framework of the talks remains largely the same. The source explained that the revised proposal includes a 60-day truce. During this period, Hamas would release half of the Israeli captives still alive in Gaza, in exchange for Israel freeing a number of Palestinian prisoners and detainees. As of now, 49 hostages from the 251 captured by Palestinian militants in October 2023 remain in Gaza. According to the Israeli military, 27 of these hostages have already been confirmed dead. STORY CONTINUES BELOW THIS AD With inputs from agencies

'Trump is desperate': Mamdani counters US president's jibes, says 'will fight back'
'Trump is desperate': Mamdani counters US president's jibes, says 'will fight back'

First Post

time34 minutes ago

  • First Post

'Trump is desperate': Mamdani counters US president's jibes, says 'will fight back'

Zohran Mamdani, an Indian-origin candidate for New York City mayor, has hit back at US President Donald Trump, calling him 'desperate' after Trump threatened to deport him. Mamdani accused Trump of using personal attacks to distract from his failures. read more Zohran Mamdani, New York's Indian-origin mayoral candidate, has fired back at US President Donald Trump after Trump threatened to deport him, calling the president 'desperate.' Mamdani accused Trump of trying to divide people and using personal attacks to distract from his failures to help working-class Americans. In a video posted on X, Mamdani vowed not to back down, saying he would keep fighting against Republican efforts to silence dissent. 'Yesterday, Donald Trump said that I should be arrested. He said that I should be deported. He said that I should be denaturalised,' Mamdani said during a rally in New York. 'He's saying these things not only because of who I am—a potential first immigrant mayor, first Muslim, and first South Asian mayor of this city—but because he wants to distract from what I fight for. I fight for working people.' STORY CONTINUES BELOW THIS AD Since Mamdani's primary victory, Trump has repeatedly attacked him, calling him a 'communist' and a 'lunatic,' and making remarks about his background. Mamdani criticised Trump for fuelling division instead of addressing the struggles of working-class Americans across the country. He also condemned Trump's major tax and spending proposal, known as the 'One Big Beautiful Bill,' which faces a key vote in Congress on Thursday. More from World Is Zohran Mamdani at risk of losing his US citizenship? Mamdani claimed Trump is attacking him to avoid discussing the bill, which he argues would cut healthcare access and leave more people hungry. His comments come a day after Trump threatened to arrest Mamdani over his promise to limit New York City's cooperation with federal immigration authorities. 'Well then, we'll have to arrest him,' Trump said during a visit to a Florida detention centre, referring to Mamdani's vow not to assist ICE. 'We'll be watching over him very carefully on behalf of the nation.' Trump also falsely claimed Mamdani might be in the US illegally, saying, 'A lot of people are saying he's here illegally.'

Will Sensex, Nifty open higher amid US–Vietnam trade deal impact?
Will Sensex, Nifty open higher amid US–Vietnam trade deal impact?

India Today

time35 minutes ago

  • India Today

Will Sensex, Nifty open higher amid US–Vietnam trade deal impact?

Sensex and Nifty are likely to experience a modest increase in opening on Thursday, influenced by gains in Asian markets following a new trade agreement between the U.S. and Vietnam. This optimism comes as investors keep a close watch on the progress of a potential US–India trade Nifty futures were trading at 25,584 points at 8:18 am, suggesting an increase from the previous close of 25, Ambala, Sebi registered Research Analyst and Co-Founder of Stock Market Today, said "We can expect Nifty to find support between 25,300 and 25,230 and face resistance near 25,550 and 25,750 in the next session." Asian markets showed mixed reactions, with the MSCI Asia ex-Japan index up by 0.2%. This rise comes ahead of important U.S. jobs data and the consideration of a significant tax and spending bill in the U.S. the U.S. administration announced a 20% tariff on various Vietnamese exports, which President Donald Trump revealed on Wednesday, just days before a July 9 deadline for imposing stricter between U.S. and Indian trade representatives are ongoing, aiming to reduce tariffs. However, unresolved issues in U.S. dairy and agriculture sectors persist, according to Broking said that the index (Nifty) tested the immediate support area of 25,400 during Wednesday ahead, index holding above 25,400 on a closing basis will lead to a pullback towards 25,900–26,000 levels in the coming sessions. However, failure to do so may lead to a healthy retracement or consolidation, with the index likely moving within the broader 25,200–25,700 range," it added. As investors prepare for quarterly business updates ahead of first-quarter earnings, the forecast for Nifty suggests a cautious optimism, with a focus on maintaining key support levels.- EndsMust Watch

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store