House Republicans on Thursday passed ‘ONE BIG BEAUTIFUL BILL’ in a 218-214 vote, clearing way for President Donald Trump’s signature, scheduled for July 4.
“Our Party is UNITED like never before and our Country is hot,” Trump wrote on Truth Social moments after the vote, thanking Speaker Mike Johnson, Senate Majority Leader John Thune, and “all of the wonderful Republican Members of Congress who helped us deliver on our promises.” The President added that Americans would soon be “richer, safer, and prouder than ever before” as the nation embarked on what he described as a “new Golden Age.”
President Donald Trump was speaking at a rally at Iowa State Fairgrounds in Des Moines, as he kicked off the celebrations for America’s upcoming 250th anniversary.
He hailed the passage of the “One Big Beautiful Bill” as a historic achievement. “There can be no better birthday present for America than the phenomenal victory just hours ago when Congress passed the One Big Beautiful Bill to make America great again,” he told a cheering crowd.
Trump emphasized the bill’s economic impact, calling it “rocket fuel to an already strong Trump economy.” He also took aim at Democrats for their unanimous opposition, saying, “Not one Democrat voted for us. All of the things we’ve given, and they wouldn’t vote, all because they hate Trump.”
Republican lawmakers are expected to join Trump at a White House 'signing celebration' on Friday at 4 pm (local time). Trump said, “Together we can do things that were not even imagined possible less than one year ago. We will keep working, and winning congratulations, America!”
The “Big Beautiful Bill” delivers massive changes across tax, spending, and security policy. At its core, the legislation makes permanent the $4.5 trillion in tax cuts first enacted during Trump’s 2017 term and introduces new breaks, including the elimination of taxes on tips, one of Trump’s key campaign promises.
On the spending side, it enacts $1.2 trillion in cuts, targeting Medicaid and food stamp programs by imposing stricter eligibility requirements, new work mandates for some parents and older adults, and reduced federal reimbursements to states. The bill also rolls back billions in tax credits for wind and solar energy, a move critics say will trigger major investment losses in the renewable sector.
Additionally, it allocates $350 billion toward border security and immigration enforcement, including expanded deportation efforts, partially financed by new fees on immigrants. To accommodate the fiscal package, the bill raises the national debt ceiling by $5 trillion—a provision that drew pushback from some Republican lawmakers.
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Trump's 'Big, Beautiful Bill' passed by House, President likely to sign it on July 4 ceremonyPermanent tax cuts and SALT deduction hikeThe bill makes Trump’s 2017 tax cuts permanent and adds new tax breaks for overtime pay and tipped workers. It also increases the cap on state and local tax deductions (known as SALT) from $10,000 to $40,000 for five years. However, these tax cuts are expected to increase the federal deficit by $3.4 trillion over the next 10 years.
Big cuts to MedicaidAccording to CBS News, the bill makes deep cuts to Medicaid, the government health program for low-income and disabled Americans. Nearly 12 million people could lose coverage due to new work requirements and more frequent eligibility checks.
The bill also blocks Medicaid from covering gender transition treatments and providing care to undocumented immigrants in some states. To reduce state spending on Medicaid, the bill slowly lowers the amount states can raise through “provider taxes.” In response to concerns from GOP senators, the bill adds a $50 billion fund to help rural hospitals affected by these cuts.
Food stamp program faces new restrictionsFood assistance also takes a hit. The Supplemental Nutrition Assistance Program (SNAP), or food stamps, will now require states to cover part of the costs if they have high error rates. The work requirement age will also be raised from 54 to 64 for able-bodied adults. Some states like Alaska and Hawaii can apply for waivers.
Tougher immigration and border security meetingOn immigration, the bill provides over $46 billion for building the border wall, $45 billion to expand immigrant detention, and $30 billion to boost staffing and training at Immigration and Customs Enforcement. It also introduces a $100 fee for asylum seekers — down from $1,000, which was rejected by the Senate parliamentarian.
Green programs funds rollbackAnother part of the bill targets clean energy. It ends tax credits for electric vehicles, home energy upgrades, and other green programs that were created under former President Biden’s Inflation Reduction Act. It also shuts down the Greenhouse Gas Reduction Fund, though existing contracts will stay in place.
The bill raises the debt ceiling by $5 trillion to avoid a government default later this year. Treasury Secretary Scott Bessent had warned that the US could run out of money by August unless Congress acted.
There’s also a change to the child tax credit. Instead of dropping from $2,000 to $1,000 in 2026, the credit will permanently increase to $2,200 — lower than what was proposed earlier.
Tax breaks for tipped workersMeanwhile, tipped workers will be able to deduct up to $25,000 in tip income from federal taxes, though this benefit phases out for higher-income earners.
Trump celebrated the bill on social media and plans to promote it during a July 4 event in Des Moines, Iowa. Democrats, who voted unanimously against it, say the bill harms vulnerable Americans and helps the wealthy. They see it as a key issue to campaign on for the 2026 elections.