Trump’s New Bill Passes Senate: Here’s What It Means for Families, Taxes, and the Economy

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Global (Commonwealth Union) _ The US Senate has passed President Trump’s One Big Beautiful Bill Act in a historic turn of events on Capitol Hill. The bill was passed with a narrow victory, where a 50-50 tie was broken by Vice President JD Vance, following a bipartisan stalemate that lasted for over 24 hours. The tax and spending measure will now be sent back to the House, where it will be faced with uncertain prospects.

The aims of the Senate legislation are to cement Trump’s 2017 tax cuts, set in motion new tax relief for middle-income citizens, and increase the federal debt ceiling by $5 trillion. The bill would also allocate $160 billion towards the enhancement of border security and a further $150 billion to the Pentagon, while providing deductions on interest for auto loans for domestic vehicles, as well as a Trump savings account for children expected to launch in 2026.

The legislation also proposes deep cuts to Medicaid, the Supplemental Nutrition Assistance Program (SNAP), and clean energy initiatives that stem from former President Joe Biden’s Inflation Reduction Act to counterbalance reduced revenue.

Lisa Murkowski, Alaska’s senator, delivered the Republican vote that made the tie, following a period of extensive negotiation on how the cuts intended for Medicaid and SNAP would be implemented. Murkowski expressed concern for vulnerable communities in the country and commented on the rushed nature of the legislative process.

However, Susan Collins, Thom Tillis, and Rand Paul, three other Republican senators from Maine, North Carolina, and Kentucky, respectively, decided to vote against the bill, alongside Democrats, expressing concerns over the expansion of the deficit and deep cuts being made to social programs.

Elon Musk, who formerly played a role as an advisor in President Trump’s administration and led the Department of Government Efficiency, has previously addressed this topic amid a fallout with the US president. The Tesla CEO, whose company is based on clean energy incentives, warned of political repercussions against lawmakers who would support the bill.

The bill will now have to face a similarly intense inspection in the House of Representatives.

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