Politics /

House Republicans Pass Sweeping Tax and Medicaid Bill, Advancing Trump Agenda

  |   By Liz Peek Staff

In the early hours of Thursday morning, House Republicans succeeded in passing their expansive legislative package, described by supporters as the “big, beautiful” bill, despite resistance from various wings within the party. The move marks a significant stride in fulfilling President Trump’s domestic policy goals.

The final vote was 215 to 214, falling largely along party lines. Republicans Thomas Massie of Kentucky and Warren Davidson of Ohio joined a unified Democratic bloc in voting against the measure. Representative Andy Harris of Maryland, who leads the House Freedom Caucus, voted “present.”

The legislation aims to extend the 2017 tax cuts, roll out additional reductions—including Trump’s proposed “no tax on tips” initiative—and impose new work requirements for Medicaid beneficiaries.

House Speaker Mike Johnson managed to overcome dissent within his ranks, particularly from fiscal conservatives who had pushed for deeper spending reductions to counterbalance tax cuts projected to exacerbate the national deficit. In a 21-hour marathon session of negotiations, Johnson secured a compromise with budget hawks by agreeing to move up the implementation of Medicaid work requirements to 2026—two years earlier than previously scheduled, reports National Review.

Additionally, he conceded to raising the cap on the state and local tax (SALT) deduction from $10,000 to $40,000, a key ask from Republicans representing high-tax states.

“After a long week and a long night and countless hours of work over the past year, a lot of prayer and a lot of teamwork, my friends, it quite literally is morning in America,” Johnson declared shortly after the bill’s passage. “After four long years of President Biden’s failures, President Trump’s America First agenda is finally here, and we are advancing that today.”

The bill now heads to the Senate, where it will be considered under the budget reconciliation process. This route allows the measure to pass with a simple majority, bypassing the usual 60-vote threshold needed for standard legislation.

Johnson reaffirmed his intention to have the bill ready for President Trump’s signature by Memorial Day.

“To our friends in the Senate, I would just say, the president is waiting with his pen,” he stated from the House floor prior to the vote.

Despite Johnson’s success in swaying most skeptics, Representative Massie remained opposed, criticizing the bill’s impact on the national debt. Earlier in the week, Trump had publicly referred to Massie as a “grandstander,” but the Kentucky congressman remained defiant.

“This bill is a debt bomb ticking,” Massie warned during floor debate. “We’re not rearranging deck chairs on the Titanic tonight. We’re putting coal in the boiler and setting a course for the iceberg.”

In the days leading up to the vote, Johnson held a series of closed-door meetings with hesitant members in an effort to secure the votes needed to advance the bill. These discussions focused on a range of priorities including defense spending, enhanced border security funding, and the extension of several expiring provisions from the Tax Cut and Jobs Act of 2017.

Negotiations extended into Wednesday afternoon and culminated in a high-stakes meeting at the White House, where GOP leaders and budget hawks ironed out final disagreements related to Medicaid policy, clean energy tax credits, and other tax elements of the legislation.

Among the Medicaid changes included in the bill are cutbacks in federal funding for states that offer entitlements to undocumented immigrants. The legislation also introduces a requirement that able-bodied Medicaid recipients work at least 80 hours per month in order to maintain their benefits. However, sweeping cuts to Medicaid were largely off the table, as Trump has deemed major entitlement reform politically disadvantageous.


This will close in 20 seconds