From the Bill Text (H.R.1, 119th Congress)
- Permanently extends individual tax rates from the 2017 Tax Cuts and Jobs Act
- Raises cap on state and local tax (SALT) deduction to $40,000 for incomes under $500,000 (reverts after 5 years)
- Creates temporary tax deductions for tips, overtime, auto loans; expires in 2028
- Permanent $200 increase in child tax credit
- Imposes 1% tax on remittances, increases tax on investment income from college endowments
- Phases out clean energy tax credits from the Inflation Reduction Act
- Increases fossil fuel incentives; opens federal land/water for oil and gas drilling
- Raises debt ceiling by $5 trillion
- Cuts Medicaid and Medicare spending
- Expands work requirements for SNAP; shifts some costs to states
- $150 billion new defense spending; $150 billion for border enforcement
- ICE funding increased from $10 billion to over $100 billion by 2029
Congressional Budget Office (CBO)
- Estimated the bill will increase the deficit by $2.8 trillion by 2034
- 10.9 million Americans projected to lose health insurance coverage
- Largest cuts to Medicaid in history
- Disproportionate impact on low-income and rural Americans
- Cuts to Medicaid and CHIP would reduce enrollment by 10.5 million by 2034
