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US Senate narrowly passes Donald Trump’s ‘big, beautiful’ tax bill
The 50-50 tie during the vote was broken by Vice President J D Vance, thus pushing the bill over the top.
The US Senate on Tuesday narrowly passed President Donald Trump's big tax breaks and spending cuts bills. The 940-page ‘One Big Beautiful Bill Act’ is Trump's flagship legislation.
The 50-50 tie during the vote was broken by Vice President J D Vance, thus pushing the bill over the top. The tie happened after Senate Majority Leader John Thune turned around two moderates who were leaning towards siding with the Democrats, according to AFP.
Trump has given a July 4 deadline to the US Congress for the passage of the bill, which provides for $150 billion increase in military spending and the US President's mass deportation program. The bill provides for a $4.5 trillion extension of Trump's first term tax cuts.
However, it proposes cuts of up to $1.2 trillion on the Medicaid health insurance program. This could strip around 8.6 million Americans low-income and disabled American of their health coverage. The bill also withdraws billions of dollars from green energy tax credits, with environmental advocates raising alarm on the rollback of EV tax credits.
Also Read | US senate removes AI regulation ban from Donald Trump's 'big beautiful bill'
The passage of the bill came after an overnight session, with the package facing opposition not just from the Democrats but also from the Republican ranks, the Associated Press reported.
The Republicans opposing the bill were – Senators Thom Tillis of North Carolina, Susan Collins of Maine and Rand Paul of Kentucky.
The bill will now go back to the House of Representatives, where the Democrats could pose hurdles to it, along with those Republicans who are hesitant at the idea of slashed health care and food aid programs, AFP reported.
Billionaire Elon Musk, who had a falling out with Trump over the legislation, on Monday said that he would launch a new party if the ‘One Big Beautiful Bill’ passes.
“If this insane spending bill passes, the America Party will be formed the next day,” Musk said in a post on X. “Our country needs an alternative to the Democrat-Republican uniparty so that the people actually have a VOICE," he added.
Musk also slammed members of the Congress who had campaigned for reducing government spending, but had backed the bill. “…they will lose their primary next year if it is the last thing I do on this Earth,” Musk said.
