The House of Representatives passed a massive piece of legislation advancing President Donald Trump's agenda early on Thursday morning.
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The bill seeks to permanently extend Trump's 2017 Tax Cuts and Jobs Act (TCJA) while also implementing newer Trump campaign promises like eliminating taxes on tips and overtime pay, and giving senior citizens a higher tax deduction for a period of four years.
The legislation also included new funding for the border and defense, including more money for Immigration and Customs Enforcement (ICE) operations and $25 billion to kick-start construction of a "Golden Dome" defense system over the U.S.
Cuts include new work requirements for able-bodied Medicaid recipients, as well as putting more of the cost-sharing burden on states that took advantage of the Affordable Care Act (ACA)'s expanded Medicaid enrollment by giving illegal immigrants access to the healthcare program.
The legislation would also roll back a host of green energy tax credits awarded in former President Joe Biden's Inflation Reduction Act (IRA) – which Trump vowed to repeal in its entirety on the campaign trail.
It also would cut the Supplemental Nutrition Assistance Program (SNAP) by roughly 20% by introducing some cost-sharing burdens on the states and increasing the amount of able-bodied Americans facing work requirements to be eligible for food stamps.
All House Democrats rejected the bill, accusing Republicans of disproportionately favoring the wealthy at the expense of critical programs for working Americans. Republicans, on the other hand, have contended that they are preserving tax cuts that prevent a 22% tax increase on Americans next year if TCJA was allowed to expire, as well as streamlining programs like Medicaid and SNAP for vulnerable Americans who need it most.
Rep. August Pfluger, R-Texas, chair of the House's 189 member-strong Republican Study Committee, told Fox News Digital, "This transformational legislation permanently extends President Trump's historic tax cuts, provides unprecedented funding for border security, and obliterates the last four years of catastrophic Democratic policies."
And while most GOP lawmakers united on the final bill, divisions appeared to persist until the final moments. Conservatives had pushed for more aggressive targeting of Medicaid waste and Biden green energy subsidies, while blue state Republicans pushed for tax relief for Americans in high-cost-of-living areas.
To resolve outstanding differences, House Republican leaders released a list of eleventh-hour changes to President Donald Trump's "one big, beautiful bill," hours before their full chamber is expected to consider the legislation.
New provisions in the bill include a ban on federal funding for transgender adults' medical care, and $12 billion in new funding to reimburse states for money they spent countering the former Biden administration's border policies.
A key request from fiscal conservatives was also honored, with House GOP leaders apparently agreeing to speed up the implementation of work requirements for certain able-bodied recipients of Medicaid.
The legislative update also included a victory for blue state Republicans who have been pushing for a higher state and local tax (SALT) deduction cap – the current $10,000 cap would be quadrupled to roughly $40,000, but only for people making less than $500,000 per year. The $10,000 cap was first instituted in TCJA.
"This is what real leadership looks like. President Trump and House Republicans made a promise to the American people to secure our border, protect seniors, cut taxes on tips and overtime, and shut off the spigot of benefits for illegal immigrants," first-term Rep. Mike Haridopolos, R-Fla., told Fox News Digital.