Senate Republicans narrowly in a dramatic overnight session passed a sweeping tax-and-spending framework early Saturday morning, bringing US President Donald Trump’s long-promised “big, beautiful bill” one step closer to reality. The measure, which passed 51-48 along mostly party lines, paves the way for extending Trump-era tax cuts and overhauling the federal budget.
The vote came amid economic uncertainty, as Trump's reimposed tariffs sent markets tumbling and sparked fresh criticism—even from within his own party. Still, Republican leaders, backed by the White House, pressed forward.
“Let the voting begin,” announced Senate Majority Leader John Thune late Friday, launching a marathon “vote-a-rama” in which Democrats pushed over two dozen amendments. Most were defeated by the Republican majority. The proposals included efforts to end Trump’s tariffs, scrap tax breaks for the wealthy, and protect social safety nets like Medicaid and Social Security.
“Trump’s policies are a disaster,” said senate Democratic leader Chuck Schumer. “Republicans could snuff it out tonight, if they wanted.”
Despite Democratic opposition, GOP leaders defended the package as a bulwark against looming tax increases, warning that Trump’s 2017 tax cuts for individuals and estates would expire without swift action.
The Senate bill allocates $175 billion for expanded immigration enforcement and another $175 billion for military spending. It now heads to the House, where Speaker Mike Johnson is expected to call a vote as early as next week, with the goal of finalising a deal before Memorial Day.
“It fulfills our promises to secure the border, to rebuild our economy and to restore peace through strength,” said Senator John Barrasso.
However, major differences loom. The House plan is far more aggressive, proposing $4.5 trillion in tax cuts over a decade and $2 trillion in spending reductions, mainly targeting public assistance programmes. Some House Republicans have already criticised the Senate’s fiscal assumptions, arguing they underestimate the true cost.
The nonpartisan Joint Committee on Taxation estimates the tax cuts would cost $5.5 trillion over ten years once interest payments are factored in. Another $1.5 trillion in additional cuts—covering Trump’s campaign pledges to eliminate taxes on tips, Social Security benefits, and overtime—pushes the projected total cost to $7 trillion.
Lawmakers also remain split on raising the state and local tax deduction cap, a sticking point for high-tax states like New York, New Jersey, and California. Debt ceiling negotiations are similarly contentious, with the Senate proposing a $5 trillion hike—$1 trillion more than the House—in hopes of avoiding another vote until after the 2026 midterms.
Though the Senate plan only outlines $4 billion in concrete spending cuts, Republican leaders insist it is merely a starting point. But tensions are rising, with fiscal conservatives demanding steeper reductions and moderates warning of political fallout.
“This vote isn’t taking place in a vacuum,” cautioned Senator Bill Cassidy, citing concerns over the growing deficit and economic instability triggered by Trump’s trade agenda.
Senator Rand Paul was the lone Republican to vote against the bill, saying, “Something’s fishy,” and pointing to flawed fiscal projections.
As negotiations shift to the House, GOP leaders hope passing any framework will buy time to resolve deeper divisions and hammer out a final deal.
According to the Urban-Brookings Tax Policy Center, extending the 2017 tax cuts would reduce taxes for roughly 75% of households, but about 10% could see an increase. By 2027, nearly 45% of the total tax benefits would go to those earning $450,000 or more.
The vote came amid economic uncertainty, as Trump's reimposed tariffs sent markets tumbling and sparked fresh criticism—even from within his own party. Still, Republican leaders, backed by the White House, pressed forward.
“Let the voting begin,” announced Senate Majority Leader John Thune late Friday, launching a marathon “vote-a-rama” in which Democrats pushed over two dozen amendments. Most were defeated by the Republican majority. The proposals included efforts to end Trump’s tariffs, scrap tax breaks for the wealthy, and protect social safety nets like Medicaid and Social Security.
“Trump’s policies are a disaster,” said senate Democratic leader Chuck Schumer. “Republicans could snuff it out tonight, if they wanted.”
Despite Democratic opposition, GOP leaders defended the package as a bulwark against looming tax increases, warning that Trump’s 2017 tax cuts for individuals and estates would expire without swift action.
The Senate bill allocates $175 billion for expanded immigration enforcement and another $175 billion for military spending. It now heads to the House, where Speaker Mike Johnson is expected to call a vote as early as next week, with the goal of finalising a deal before Memorial Day.
“It fulfills our promises to secure the border, to rebuild our economy and to restore peace through strength,” said Senator John Barrasso.
However, major differences loom. The House plan is far more aggressive, proposing $4.5 trillion in tax cuts over a decade and $2 trillion in spending reductions, mainly targeting public assistance programmes. Some House Republicans have already criticised the Senate’s fiscal assumptions, arguing they underestimate the true cost.
The nonpartisan Joint Committee on Taxation estimates the tax cuts would cost $5.5 trillion over ten years once interest payments are factored in. Another $1.5 trillion in additional cuts—covering Trump’s campaign pledges to eliminate taxes on tips, Social Security benefits, and overtime—pushes the projected total cost to $7 trillion.
Lawmakers also remain split on raising the state and local tax deduction cap, a sticking point for high-tax states like New York, New Jersey, and California. Debt ceiling negotiations are similarly contentious, with the Senate proposing a $5 trillion hike—$1 trillion more than the House—in hopes of avoiding another vote until after the 2026 midterms.
Though the Senate plan only outlines $4 billion in concrete spending cuts, Republican leaders insist it is merely a starting point. But tensions are rising, with fiscal conservatives demanding steeper reductions and moderates warning of political fallout.
“This vote isn’t taking place in a vacuum,” cautioned Senator Bill Cassidy, citing concerns over the growing deficit and economic instability triggered by Trump’s trade agenda.
Senator Rand Paul was the lone Republican to vote against the bill, saying, “Something’s fishy,” and pointing to flawed fiscal projections.
As negotiations shift to the House, GOP leaders hope passing any framework will buy time to resolve deeper divisions and hammer out a final deal.
According to the Urban-Brookings Tax Policy Center, extending the 2017 tax cuts would reduce taxes for roughly 75% of households, but about 10% could see an increase. By 2027, nearly 45% of the total tax benefits would go to those earning $450,000 or more.
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