Overview

• The One Big Beautiful Bill Act, signed July 4, codifies permanent 2017 tax cuts, exempts tips and overtime from taxation, and boosts funding for immigration enforcement and the military.
• A Congressional Budget Office analysis finds the legislation will add $3.3–3.8 trillion to the deficit over ten years and could strip 11.8 million people of Medicaid coverage through new work requirements.
• House Speaker Mike Johnson has outlined plans for two additional partisan reconciliation bills in fall 2025 and spring 2026, along with rescission packages to claw back federal spending.
• Republicans are launching a national campaign to promote take-home pay gains from permanent tax relief while Democrats air ads spotlighting delayed Medicaid and SNAP cuts and the mounting deficit.
• Five recent polls register net disapproval of the law between 19 and 29 percentage points as both parties target key swing districts in California, Pennsylvania and rural hospital regions ahead of the 2026 midterms.