The Republican-controlled House advanced President Trump’s tax and spending bill on 21 May 2025, clearing a key procedural hurdle and setting it up for a floor vote.
US President Donald Trump’s massive tax and spending bill passed a key procedural impediment in the Republican-controlled House of Representatives on 21 May 2025. The gatekeeper committee approved the measure and set up a floor vote for passage within hours of the bill’s passing.
Republicans remain divided over the bill, which extends key provisions of Trump’s 2017 Tax Cuts and Jobs Act, adds breaks for tipped income and auto loans, and increases military and immigration enforcement spending.
The bill also imposes stricter requirements on healthcare benefits for low-income individuals, brings billions in spending cuts to Medicaid, green tax credits, and education and agricultural programmes. It also includes cuts to renewable energy, environmental, education, and foreign aid programs.
The nonpartisan Congressional Budget Office projects that the bill will increase the US national debt by USD 3.8 trillion over the next decade, adding to the current USD 36.2 trillion total.
Earlier, on 25 April 2025, The New York Times reported that the Trump Administration is planning to cut billions from child care, health research, education, and housing programmes in its 2026 budget proposal. Earlier this year, Congress passed a Republican budget plan for 2025 to cut billions in spending and extend expiring tax cuts.
