Overview

• The bill makes permanent major tax cuts for high earners and businesses, adding deductions for overtime, tips and state and local taxes.
• It reduces Medicaid funding by over $800 billion over ten years and imposes work requirements on SNAP and other social welfare programs, putting millions at risk of losing benefits.
• Defense spending rises by roughly $150 billion while border security receives more than $46 billion for wall construction and expanded ICE detention capacity.
• The Congressional Budget Office estimates the legislation will add about $3.3 trillion to the federal deficit over the next decade, prompting criticism from fiscal conservatives and figures like Elon Musk.
• The package cleared the Senate 51–50 with Vice President J.D. Vance’s tie-breaking vote and passed the House 218–214 after marathon debates and GOP infighting.