WASHINGTON (AP) – Republicans in the House of Representatives took early Thursday a major step forward on President Donald Trump’s agenda, approved a legislative package that combines tax exemptions, spending discounts, border security financing and other priorities.
The House of Representatives committees worked for several months on the draft law, which has undergone late changes to beat a protesters at the Republican Conference. It exceeds 1000 pages and entitled “The Large Big Buds Law”, a reference to Trump itself.
The Republicans made a final tour of the reviews before the bill reached the House of Representatives Hall, which increased the state’s deduction and local taxes to beat the two centers and the speed of work requirements in Medicaid to beat those who did not believe that the bill was doing enough to reduce spending.
Here’s a look at what is in the legislative package, which is expected to be subject to more changes when it goes to the Senate.
Tax discounts for individuals and companies
Republicans are looking to make the furniture discounts for income and real estate taxes in the first period of Trump, in 2017, in addition to activating the promises he made in the campaign of the 2024 campaign for lack of taxes, additional work and interest on some car loans.
To compensate for partially lost revenues, Republicans suggest canceling or gradually disposing of the clean energy tax credits issued during the chairmanship of Joe Biden, helping to reduce the total cost of the tax part to about $ 3.8 trillion.
The bill includes a temporary payment in the standard deduction – an increase of $ 1,000 for individuals, which is $ 16,000 for individual employees, supporting $ 2000 for subscribed employees, and a suitable for $ 32,000. The discount reduces the income amount that is already subject to income tax.
There is also a temporary increase of $ 500 in child tax credit, up to $ 2,500 for 2025 to 2028. Then returns to $ 2000 and will increase to inflation.
Real estate tax exemption rises to $ 15 million and is adjusted to inflation to move forward.
One of the most thorny issues in negotiations was the amount of local and state tax deduction, which is now crowned with $ 10,000. This was a priority from legislators in New York. The bill of the maximum “salt” increases to $ 40,000 for an income of up to $ 500,000, with a low limit down for those who have higher income. Also, the maximum and income threshold will increase 1 % annually over 10 years.
Many of the rulings that Trump promised to the campaign will be temporary, almost lasting during his term in office. Tax exemptions for advice, additional work and the benefit of a car loan at the end of 2028 end. This is also the case for an increase of $ 4,000 in the standard discount for the elderly.
Among the various business tax provisions, small companies, including partnerships and companies, will be able to offer 23 % of their qualified business income from their taxes. The discount was 20 %
Companies will be temporarily allowed at the cost of local research and development costs in full in the year in which it occurs and the cost of machines, equipment and other qualified assets. This encourages companies to invest in ways that enhance their productivity.
The older parents and Americans face work requirements for nutritional help
Republicans in the House of Representatives will reduce spending on food aid, known as the additional nutrition and assistance program, by about $ 267 billion over 10 years.
Countries will bear 5 % of the costs of benefits, starting from the fiscal year 2028, and 75 % of administrative costs. Currently, countries do not pay any of the benefits and half of the management costs.
Republicans also expand work requirements to receive food aid. Under the current law, physical adults who do not support the fulfillment of work requirements must be 54 years old, and this will change under the invoice to 64 years.
Also, some parents are currently exempt from work requirements until their children are 18 years old; This would change, so those who care about a child under seven years of age suffer from an exemption.
And new work requirements for Medicaid
Pivotal Package It is approximately $ 700 billion of reduced spending on Medicaid, according to CBO.
To be eligible to get Medicaid, there will be “new societal participation requirements” of at least 80 hours per month of work, education or service for adults who suffer from the body without the Almighty. The new requirements will start on December 31, 2026. People will also have to verify their eligibility for the program twice a year, instead of only once.
Republicans are looking to generate savings with new business requirements. But Democrats warn that millions of Americans will lose coverage.
A preliminary estimate from the non -partisan Congress budget office said that the proposals will reduce the number of people with health care by 8.6 million over the course of the contract.
There are no taxes on sounds, nor money for family planning and more
Republicans also use the package to reward allies and the faults of political enemies.
The package will cancel a $ 200 tax on sounds that have been present since Congress approved the national firearms law in 1934. NRA supports the elimination of the tax.
The Giffords group, which reduces the violence with firearms, said that the silencer makes it difficult to recognize the shooting sound and locate a gunshot source, which weakens law enforcement capacity to respond to active archers.
Republicans are also looking to prevent medicaid money from going to family planning, which provides abortion care. Democrats say that getting rid of the organization will make it difficult for millions of patients to obtain cancer examinations, PAP tests and birth control.
Trump for children 1000 dollars savings accounts
The draft law originally called for “Maga” accounts, an abbreviation of Trump’s signing line, “Make America great again.” But in reviewing the last minute, the draft law changed the name “Trump” accounts.
For parents or guardians who open Trump, the accounts of their children are renewed, the federal government will contribute $ 1,000 for children born from January 1, 2024 and December 31, 2028.
Families can add $ 5,000 a year, with account holders unable to distributions before the age of 18. Then they can reach up to 50 % of the funds to pay for a higher education, training and home purchases for the first time. At the age of 30, account holders can reach the full balance of the account for any purpose.
Trump’s collective deportation process
The legislation will save $ 46.5 billion to revive the building of the Trump wall along the borders of the United States and Mexico, and more money for the deportation schedule.
There are 4 billion dollars to employ 3,000 new border patrol agents in addition to 5,000 new customs officers, and $ 2.1 billion for signature and retaining bonuses. There are also funds for 10,000 immigration officers, customs and investigators.
It includes major changes in immigration policy, and a $ 1,000 fee for immigrants looking for asylum – which the nation has never made, which makes it equally with another few, including Australia and Iran.
In general, the plan is to remove one million migrants annually and house 100,000 people in detention centers.
More money for the Pentagon and Trump “Golden Dome”
There is almost also With 150 billion dollars In new funds for the Ministry of Defense and National Security.
It will save $ 25 billion for Trump’s golden dome, a missile defense shield that has been divided long ago, $ 21 billion to store ammunition arsenal in the country, $ 34 billion to expand the naval fleet with more ships building and about $ 5 billion in border security.
It also includes 9 billion dollars in quality service for life -related issues, including housing, health care and special wages.
University endowment tax and student loan repair
Wholesale for the student loan program is a key to legislation, which is presented 330 billion dollars of budget discounts and savings.
The suggestion will replace all current students ’loans to pay in two plans: a standard option with monthly payments scattered over 10 to 25 years and the“ payment assistance ”plan is generally less toxic than those that may be replaced.
Among the other changes, the draft law would cancel the Biden era regulations that facilitated borrowers to cancel loans if their colleges are defrauding them or closing them suddenly.
There will be a tax increase, up to 21 %, in some university endowments.
More drilling, mining on public lands
To generate revenues, Sedition It would allow an increase in the rental of public lands for drilling, mining and registration while clearing the path for further development by accelerating government approvals.
The prices of kings that companies pay to extract oil, gas and coal will be reduced, which leads to Biden’s attempts Crushed fossil fuel To help address climate change.
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This report contributed to this report in Washington, Matthew Brown in Kolin Benkeli, the Associated Press Coleen Pinkley, Mary Claire Galoniki in Washington and Matthew Brown in Montana.
