WASHINGTON, Jul 05 (APP): US President Donald Trump has signed what he called his “big, beautiful bill,” into law, a day after the major tax cuts and spending package was narrowly passed by Congress.
Friday’s signing event at the White House on America’s independence day (July 4th) enacts key parts of the Trump agenda that would also vastly expand the federal government’s immigration enforcement machinery.
Analysts say the legislation is extensive, including hundreds of provisions that touch everything from individual rates to student loans to the estate tax. It attempts to pay for the included tax breaks by slashing spending on social safety net programmes like Medicaid and nutritional benefits, as well as green energy programme.
Even with these cuts, it is expected to add $3.1 to $3.5 trillion to the national debt over the next 10 years.
Trump told supporters it will unleash economic growth, but he must now convince sceptical Americans as polling suggests many disapprove of parts of the bill.
Several members of his own Republican party were opposed because of the impact on rising US debt and Democrats warned the bill would reward the wealthy and punish the poor.
The 870-page package includes:
— extending 2017 tax cuts of Trump’s first term;
— steep cuts to Medicaid spending, the state-provided healthcare scheme for those on low incomes and the disabled;
— new tax breaks on tipped income, overtime and Social Security;
— a budget increase of $150bn for defence;
— a reduction in Biden-era clean energy tax credits; and,
— $100bn to Immigration and Customs Enforcement (ICE)
In his speech from the White House balcony, President Trump touted the tax cuts in the bill, brushing aside criticism of the impact to social programmes such as food assistance and Medicaid.
“The largest spending cut, and yet, you won’t even notice it,” he said of the bill. “The people are happy.”
Additionally, Trump praised additional resources being given to border and immigration enforcement and an end to taxes on tips, overtime and social security for senior citizens, which he says the bill will fulfil.
The celebratory mood follows days of tense negotiations with Republican rebels in Congress and days of cajoling on Capitol Hill, sometimes by the president himself.
House Minority Leader Hakeem Jeffries delayed the final vote in the lower chamber of Congress on Thursday by speaking for nearly nine hours.
He called the bill an “extraordinary assault on the healthcare of the American people” and quoted testimony from individuals anxious about its impact.
But his marathon speech only postponed the inevitable. As soon as he sat down, the House moved to a vote.
Republican lawmakers celebrated after narrowly passing Trump’s sweeping budget bill before a self-imposed deadline of 4 July
Only two Republicans went against, joining all 212 Democrats united in opposition. The bill passed by 218 votes to 214.
Earlier this week, the Senate passed the bill but US Vice-President JD Vance was required to cast a tie-breaking vote after three Republicans held out.