The report, Non-partisan CBO The Joint Tax Commission, which anticipates the cost of debt sales, found that the bill would raise interest rates and increase interest payments for federal debt baseline forecasts by $441 billion.
Analysis is at critical moments Trump is pushing Republican-led Congress As he said “Big, beautiful Bill.” It passed the house by party vote last month and now faces The Senate amendment. Vice President JD Vance urged Senate Republicans to send the last package to the president’s table during a private lunch meeting Tuesday.
Senate Majority Leader John Thune later said: “We are excited to introduce this bill.”
Tuesday’s report uses dynamic analysis by estimating the budget impact of tax bills by considering how economic changes affect income and expenditures. This is contrary to static scores, which assume that all other economic factors remain constant.
CBO Publish its static rating analysis Earlier this month, it was estimated that Trump’s bill would release trillions of dollars in tax cuts and spending cuts, but the deficit also increased by $2.4 trillion over the decade, while those without health insurance left about 10.9 million.
Republicans have repeatedly argued that a more dynamic scoring pattern would more accurately show how tax cuts will stimulate economic growth—essentially overcoming the loss of revenue to the federal government.
But the larger deficit figures in the new analysis have allowed Democrats to unify against the big bill, which is a new argument to challenge the Republican stance that tax cuts will basically pay for themselves.
“It is ridiculous for the Republicans to claim that the bill does not increase debt or deficit, and the evidence is numbers,” said Sen. Jeff Merkley, the top Democrat on the Senate Budget Committee.
“Even if economic growth is considered, the cost of these tax grants will increase debt even more,” he said.
Marc Goldwein, senior vice president and senior policy director for the Federal Budget Commission, said on social media Tuesday that a new dynamic analysis was considered: “It not only is it not paying for itself, but it hasn’t paid for any one.”
Minister of Finance Scott Betting Other Republicans have tried to discredit Congress’s determination, saying the group does not have enough credit for the economic growth the bill will create.
At the Capitol, Mehmet Oz led the Center for Medicaid and Medicare Services and joined Vance at the Republican Senate lunch, when asked about the bill that would leave 10.9 million people without health care, which was largely challenging from the new job requirements.
“What if Americans have the option to try to find a job, educate, or volunteer to join the community (with some engagement) or lose Medicaid coverage?” Oz asked. “I have more confidence in the American people than some of these analytical organizations.”
Republicans on the Senate Finance Committee announced their proposal Monday Medicaid cutsinclude New job requirements for teenage parentsto offset the big bill that makes Trump’s tax relief more permanent.
The packaged version of the Senate also enhances the new tax break Trump proposed for seniors, with a $6,000 deduction for low to middle-income senior households, a $75,000 annual income for singles and $150,000 for couples.
Senate Republicans’ proposal to deduct the current $10,000 state and local tax (called salt) deductions, quickly fighting back from New York and other high-tax countries Fight for the $40,000 cap in the House of Representatives bill. The senator insisted that the negotiations continue.
Bessent said Tuesday that the Senate Republican proposal for a tax cut bill “will achieve the permanent and certainty that individual taxpayers and businesses are looking for in order to seek, drive growth and free up the U.S. economy.”
“We look forward to continuing to work with the Senate and the House to further refine the bill and hand it over to President Trump’s table,” he said in a press release.
While this House bill exempts dependent parents from the new Medicaid job requirements, the Senate version expands the inclusion of parents of children over 14 years of age in the program to combat waste and promote personal liability.
Oz said the job requirements “prove that you are doing your best to help this country bigger.” “Doing in this way, you will get the right to Medicaid.”
CBO Publish another analysis separately Last week on the tax bill, including how the measure affects households based on income distribution. It estimates that the bill would cost the poorest Americans about $1,600 a year, while increasing the income of the wealthiest households by an average of $12,000 a year.
