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2d ago

GOP’s ‘One Big Beautiful Bill’ Clears House, Faces Senate Rift Over Deficit Cuts

Senate Republicans are debating deep revisions to the package’s tax and Medicaid provisions to trim a projected $3.8 trillion deficit impact

A protester at a weekly rally outside the News Corporation headquarters in New York City on May 20, 2025.
Senate Majority Leader John Thune is joined by, from left, Republican Sens. Tom Cotton and John Barrasso and Rep. James Lankford, R-Okla., at the Capitol on May 13, 2025.
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Overview

  • The House passed the bill 215–214 on May 20, extending Trump’s 2017 tax cuts, adding new breaks and imposing Medicaid work requirements by a razor-thin margin.
  • A nonpartisan CBO report projects the plan would add $3.8 trillion to federal deficits over a decade, a calculation Speaker Johnson has publicly dismissed as biased.
  • Speaker Johnson defended the legislation in private texts to Elon Musk after the tech CEO called the proposal “disappointing” for its deficit expansion.
  • In the Senate, Republicans such as Josh Hawley, Rand Paul and Rick Scott propose overhauling Medicaid work rules and stripping green energy incentives to deepen spending cuts.
  • Lawmakers warn that failure to resolve these intraparty divisions before early July could trigger higher taxes for households and a debt ceiling confrontation.