"Trump's Tax Overhaul: Bursting the Budget Deficit by Trillions"
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Potential Financial Impact: Trump's Tax Legislation May Increase U.S. Debt by Tens of Billions - Potential increase in U.S. debt due to Trump's tax legislation
In an unexpected twist, the proposed tax and spending bill from none other than the White House's resident entrepreneur, Donald Trump, stands to send the United States' budget deficit soaring by a staggering $2.8 trillion over the next ten years - as per a recent report from the Congressional Budget Office (CBO). A version of this estimate that omits any positive economic effects suggests an even starker figure of $3 trillion.
The Towering Cost of Trump's "Beautiful Bill"
This new analysis serves as a direct contrast to claims made by Trump's Republicans that their comprehensive package would supercharge the American economy and slash the national debt due to increased revenues. As Senate Republican leader John Thune stated on Tuesday, "We reckon it's going to spawn a stronger, more prosperous America."
The House of Representatives paved the way for the passage of the bill, dubbed the "One Big Beautiful Bill Act," in May. Republicans in the Senate are currently weighing up a revised version. To become law, both chambers of Congress must agree on a common version, which can then be presented to Trump.
The draft bill extends the massive tax cuts introduced during Trump's first term, due to expire at the end of the year, and features draconian cuts to Medicaid, the healthcare program primarily geared towards low-income and older Americans.
- Tax Reform
- Donald Trump
- US Federal Budget
- Healthcare
Sources
- USNews
- CBO
- Brookings
- Center on Budget and Policy Priorities
- The tax reform proposed by Donald Trump, known as the One Big Beautiful Bill Act, could significantly increase the US Federal Budget deficit by up to $3 trillion over the next decade, according to a report by the Congressional Budget Office (CBO).
- The proposed tax law by Donald Trump, if implemented, could have a profound impact not only on finance and business within the USA but also on the nation's politics and general news, particularly given the substantial budgetary implications which contrast claims made by Trump's Republicans regarding the bill's projected economic effects.
