Trump’s Sweeping Tax Bill Clears Key House Hurdle Amid GOP Tensions

A sweeping tax and spending bill backed by U.S. President Donald Trump has advanced through a critical procedural step in the House of Representatives, bringing it one step closer to becoming law. The House Rules Committee approved the bill late Wednesday, setting the stage for a floor vote before Thursday morning. The legislation remains controversial even within the Republican Party and faces an uncertain path in the Senate.

The bill, which would extend Trump’s 2017 tax cuts and introduce new breaks for tipped income and auto loans, is expected to add $3.8 trillion to the national debt over the next decade, according to estimates from the Congressional Budget Office. To offset part of that cost, the bill proposes cutting funding for food assistance and health programs such as Medicaid, which serves low-income Americans.

While the measure received the green light from the Rules Committee in an 8-4 vote, Republican leaders scrambled to secure enough support from party hardliners who had opposed the bill for lacking deeper spending cuts. After meetings with Trump and House Speaker Mike Johnson, some holdouts appeared to shift.

“I believe we are going to land this airplane,” Speaker Johnson told reporters, signaling optimism for final passage.

The bill includes several key revisions aimed at winning over skeptical GOP lawmakers. Among the changes: Medicaid work requirements would begin at the end of 2026—two years earlier than initially proposed. States that expand Medicaid in the future would be penalized, and the state and local tax (SALT) deduction cap would be adjusted. Other concessions include exempting firearm silencers from registration requirements and eliminating a $200 tax on those accessories.

Representative Dusty Johnson, leader of the Main Street Caucus, said the Speaker had worked closely with various GOP factions to build a compromise that could pass.

Even with the revisions, the bill has sparked fierce opposition from Democrats, who argue it favors the wealthy at the expense of the most vulnerable.

“Republicans are kicking millions of Americans off their healthcare and food benefits in order to finance tax cuts that will help billionaires,” said Representative Jim McGovern, the top Democrat on the Rules Committee. “Cutting benefits means families will go hungry, farmers will suffer, and health care costs will go up.”

Democratic Representative Gwen Moore echoed the criticism, calling the bill a betrayal of working families and warning it could deepen the country’s economic inequality.

The political and financial stakes are high. Last week, credit rating agency Moody’s downgraded the U.S. government’s credit rating, citing ballooning debt. U.S. stocks declined on Wednesday amid investor unease about the fiscal outlook.

Despite the internal divisions and growing debt concerns, Trump has remained publicly committed to what he describes as a “big, beautiful bill.” His personal lobbying on Capitol Hill aimed to rally support ahead of a tight vote where just a few Republican defections could derail the legislation.

The bill now moves to the House floor, where the outcome remains uncertain. If it passes, the Senate will take up the measure in what is expected to be a contentious and prolonged debate.

A sweeping tax and spending bill backed by U.S. President Donald Trump has advanced through a critical procedural step in the House of Representatives, bringing it one step closer to becoming law. The House Rules Committee approved the bill late Wednesday, setting the stage for a floor vote before Thursday morning. The legislation remains controversial even within the Republican Party and faces an uncertain path in the Senate.

The bill, which would extend Trump’s 2017 tax cuts and introduce new breaks for tipped income and auto loans, is expected to add $3.8 trillion to the national debt over the next decade, according to estimates from the Congressional Budget Office. To offset part of that cost, the bill proposes cutting funding for food assistance and health programs such as Medicaid, which serves low-income Americans.

While the measure received the green light from the Rules Committee in an 8-4 vote, Republican leaders scrambled to secure enough support from party hardliners who had opposed the bill for lacking deeper spending cuts. After meetings with Trump and House Speaker Mike Johnson, some holdouts appeared to shift.

“I believe we are going to land this airplane,” Speaker Johnson told reporters, signaling optimism for final passage.

The bill includes several key revisions aimed at winning over skeptical GOP lawmakers. Among the changes: Medicaid work requirements would begin at the end of 2026—two years earlier than initially proposed. States that expand Medicaid in the future would be penalized, and the state and local tax (SALT) deduction cap would be adjusted. Other concessions include exempting firearm silencers from registration requirements and eliminating a $200 tax on those accessories.

Representative Dusty Johnson, leader of the Main Street Caucus, said the Speaker had worked closely with various GOP factions to build a compromise that could pass.

Even with the revisions, the bill has sparked fierce opposition from Democrats, who argue it favors the wealthy at the expense of the most vulnerable.

“Republicans are kicking millions of Americans off their healthcare and food benefits in order to finance tax cuts that will help billionaires,” said Representative Jim McGovern, the top Democrat on the Rules Committee. “Cutting benefits means families will go hungry, farmers will suffer, and health care costs will go up.”

Democratic Representative Gwen Moore echoed the criticism, calling the bill a betrayal of working families and warning it could deepen the country’s economic inequality.

The political and financial stakes are high. Last week, credit rating agency Moody’s downgraded the U.S. government’s credit rating, citing ballooning debt. U.S. stocks declined on Wednesday amid investor unease about the fiscal outlook.

Despite the internal divisions and growing debt concerns, Trump has remained publicly committed to what he describes as a “big, beautiful bill.” His personal lobbying on Capitol Hill aimed to rally support ahead of a tight vote where just a few Republican defections could derail the legislation.

The bill now moves to the House floor, where the outcome remains uncertain. If it passes, the Senate will take up the measure in what is expected to be a contentious and prolonged debate.