Trump urges senators to sign his big bill of tax breaks into law by July 4

Business Standard

3 days ago

It's a potentially tumultuous three-week sprint for senators preparing to put their own imprint on the massive Republican package that cleared the House late last month by a single vote
AP Washington
President Donald Trump wants his big, beautiful bill of tax breaks and spending cuts on his desk to be signed into law by the Fourth of July, and he's pushing the slow-rolling Senate to make it happen sooner rather than later.
Trump met with Senate Majority Leader John Thune at the White House earlier this week and has been dialling senators for one-on-one chats, using both the carrot and stick to nudge, badger and encourage them to act. But it's still a long road ahead for the 1,000-page-plus package.
His question to me was, How do you think the bill's going to go in the Senate? Sen. Josh Hawley, R-Mo., said about his call with Trump. Do you think there's going to be problems? It's a potentially tumultuous three-week sprint for senators preparing to put their own imprint on the massive Republican package that cleared the House late last month by a single vote. The senators have been meeting for weeks behind closed doors, including as they returned to Washington late Monday, to revise the package ahead of what is expected to be a similarly narrow vote in the Senate.
Passing THE ONE, BIG, BEAUTIFUL BILL is a Historic Opportunity to turn our Country around, Trump posted on social media. He urged senators Monday to work as fast as they can to get this Bill to MY DESK before the Fourth of JULY.
But Trump's high-octane ally, billionaire Elon Musk, lambasted the package and those voting for it.
This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination, Musk posted on his site X, as some lawmakers have expressed reservations about the details. Shame on those who voted for it: you know you did wrong. You know it.
A test for Thune Thune, like House Speaker Mike Johnson, has few votes to spare from the Senate's slim, 53-seat GOP majority. Democrats are waging an all-out political assault on GOP proposals to cut Medicaid, food stamps and green energy investments to help pay for more than USD 4.5 trillion in tax cuts with many lawmakers being hammered at boisterous town halls back home.
It'd be nice if we could have everybody on board to do it, but, you know, individual members are going to stake out their positions, Thune said Tuesday. But in the end, we have to succeed. Failure's not an option.
Johnson called Musk's harsh criticism of the bill very disappointing.
With all due respect, said Johnson, who said he spoke with Musk for more than 20 minutes, my friend Elon is terribly wrong about the one big beautiful bill.
At its core, the package seeks to extend the tax cuts approved in 2017, during Trump's first term at the White House, and add new ones the president campaigned on, including no taxes on tips. It also includes a massive buildup of USD 350 billion for border security, deportations and national security.
To defray the lost tax revenue to the government and avoid piling onto the nation's USD 36 trillion debt load, Republicans want reduce federal spending by imposing work requirements for some Americans who rely on government safety net services. Estimates are 8.6 million people would no longer have health care and nearly 4 million would lose Supplemental Nutritional Assistance Programme benefits, known as SNAP.
The package also would raise the nation's debt limit by USD 4 trillion to allow more borrowing to pay the bills.
Senate Democratic Leader Chuck Schumer said Trump's bill "is ugly to its very core.
Schumer said Tuesday that senators should listen to Musk. Behind the smoke and mirrors lies a cruel and draconian truth: tax breaks for the ultra-wealthy paid for by gutting health care for millions of Americans," said the New York senator.
The nonpartisan Congressional Budget Office is expected to soon provide an overall analysis of the package's impacts on the government balance sheets. But Republicans are ready to blast those findings from the congressional scorekeeper as flawed.
The GOP holdouts Trump switched to tougher tactics Tuesday, deriding the holdout Republican senators.
The president laid into Kentucky Sen. Rand Paul, the libertarian-leaning deficit hawk who has made a career of arguing against government spending. Paul wants the package's USD 4 trillion increase to the debt ceiling out of the bill.
Rand votes NO on everything, but never has any practical or constructive ideas. His ideas are actually crazy (losers!), Trump posted.
Paul seemed unfazed. I like the president, supported the president, the senator said. But I can't in good conscience give up every principle that I stand for and every principle that I was elected upon.
The July 4th deadline is not only aspirational for the president, it's all but mandatory for Treasury Secretary Scott Bessent, who has warned Congress that the nation will run out of money to pay its bills if the debt ceiling, now at USD 36 trillion, is not lifted by mid-July or early August to allow more borrowing. Bessent has also been meeting behind closed doors with senators and GOP leadership.
To make most of the tax cuts permanent particularly the business tax breaks that are the Senate priorities senators may shave some of Trump's proposed new tax breaks on automobile loans or overtime pay, which are less prized by some senators.
There are also discussions about altering the USD 40,000 cap that the House proposed for state and local deductions, known as SALT, which are important to lawmakers in high-tax New York, California and other states, but less so among GOP senators.
We're having all those discussions, said Sen. Thom Tillis, R-N.C., another key voice in the debate.
Hawley is a among a group of senators, including Maine Sen. Susan Collins and Alaska Sen. Lisa Murkowski, who have raised concerns about the Medicaid changes that could boot people from health insurance.
A potential copay of up to USD 35 for Medicaid services that was part of the House package, as well as a termination of a provider tax that many states rely on to help fund rural hospitals, have also raised concerns.
The best way to not be accused of cutting Medicaid is to not cut Medicaid, Hawley said. Collins said she is reviewing the details.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)