A tax and spending bill backed by President Donald Trump faces resistance in the Senate, where some conservative Republicans and billionaire Elon Musk are demanding deeper cuts in government spending.
The bill, passed by the House last month, would extend Trump’s 2017 tax cuts, increase defence and border security funding, and lift the debt ceiling. The Congressional Budget Office said the plan would raise the national debt by about $2.4 trillion over 10 years, while another group said the cost could reach $5 trillion if temporary tax cuts are made permanent.
Musk, who helped lead a government cost-cutting effort before stepping down last week, criticized the bill, saying it increases the deficit and needs to be rewritten. Senate Majority Leader John Thune said the legislation is moving forward and will be passed.
Some Senate Republicans dismissed Musk’s influence, with Senator Kevin Cramer saying lawmakers must focus on real policy. Senator Rick Scott said balancing the budget is necessary to reduce inflation and interest rates, while Senator Ron Johnson called the bill insufficient to fix the country’s debt issues.
The bill would cut federal revenues by $3.67 trillion while reducing spending by $1.25 trillion, according to the CBO. It would also affect healthcare, with 10.9 million people projected to lose coverage by 2034, including 1.4 million undocumented immigrants.
Democratic lawmakers have opposed the bill, citing concerns about cuts to healthcare and other programs.
The 1,100-page measure includes changes to tax laws, immigration enforcement, and social programs. It would cancel green energy incentives, increase deportation capacity, and loosen rules on firearm silencers.
The bill requires only four Republican defections in the 53-47 Senate to be blocked if Democrats vote together. Senate debate is expected to begin soon.
