***The ‘Big and beautiful Bill’ is turning into a headache – The Hindu BusinessLine

Clipped from: https://www.thehindubusinessline.com/opinion/the-big-and-beautiful-bill-is-turning-into-a-headache/article69621143.ece

It has annoyed Republicans and Democrats alike

US President Donald Trump speaks to the media before boarding Air Force One as he departs for Washington, D.C. (file photo) | Photo Credit: NATHAN HOWARD

US President Donald Trump had to go to Capitol Hill to cajole and coerce House Republican holdouts on his ‘One Big and Beautiful Bill’; and the House Speaker Mike Johnson along with a few of his colleagues had to pull an all- nighter to enable passage by one vote: 215 to 214.

The big question at the end of it is whether the efforts were worth the trouble.

For first indications are that it is not only the Democrats in the Senate who are itching for a showdown; so are a handful of Republicans who seem eager to take the House version apart.

The chances of the Senate returning an exact version of the House ‘Big and Beautiful Bill’ is between one of three: fat, slim and none. And it does not confine to the criticism of Democratic Senators alone who are objecting to some $4.5 trillion in tax breaks, although they would be reluctant to slam the new add-on like no taxes on tips, overtime and car loans.

And given the nature of their constituencies there will be some Republicans and Democrats in the Senate who will be inclined to oppose the raise in the federal deduction cap for state and local taxes, known as SALT; and the rollback on green energy tax breaks of the Biden era.

Defense spending

What has irritated some fiscal conservatives, who are looking to reduce deficits, is that the House package adds some $350 billion including additional money for the Pentagon and funds for Trump’s Golden Dome defense shield.

All this is not to forget additional spending for deportations and border security. Some Democrats are incensed that federal deficit will be increased by about $4 trillion and cuts in Medicaid and food stamps will amount to $1 trillion in reduced spending. “This is one big ugly bill”. House Democratic leader Hakeem Jeffries remarked.

Whether the Democrats describe the House Bill as “ugly” or a “tax scam”, the buzz word among Republican Senators is “changes”, especially pertaining to energy tax credits at the micro level and overall deficit management at the macro.

What House Republicans find difficult to digest, especially those who thought they had made big sacrifices, is that their colleagues in the Senate have made it clear that a more bitter pill is on the way.

Deficit worries

As Republican Senator Ron Johnson put it, “The goal of the House was to pass ‘ one big, beautiful bill’. It is rhetoric. It is false advertising. The goal should have been to reduce average annual deficits”.

The deficits in the House Bill, according to the Wisconsin law maker, was “completely unacceptable”, sentiments on more cuts that would make House Republicans jittery with 2026 elections around the corner. Another fiscal hawk, Republican Senator Rand Paul bluntly said “ I’m not voting to raise the debt ceiling $4 trillion to $5 trillion”.

Advantage Democrats?

Without a doubt Democrats are seeing an opening in the passage of the House Bill, an avenue they have long been waiting since last November’s drubbing at the hustings. “Let me just say what the House just passed last night makes it significantly easier for us to take back the Senate”, said Senate Minority leader Chuck Schumer.

If House Republicans in the blue states are worried about the political fallouts of cuts in Medicaid, Republican Senators in the red states could not care less of increasing federal deductions cap of state and local taxes in wealthy blue States.

The Senate version is expected to be ready by July 4 with Democrats only to be expected to use every available legislative maneuver before a conference committee drafts the final version which will have to be voted again in the House.

To the Republican leadership, including in the White House, the final exercise when completed, will make the recent all-nighter look like a school picnic.

The writer is a senior journalist who has reported from Washington DC on North America and United Nations

Published on May 26, 2025

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