House Republicans have reached a deal to advance a major tax overhaul central to President Trump’s economic agenda.
The revised bill, unveiled late May 21, includes changes such as earlier Medicaid work requirements (December 2026), termination of green energy tax credits, renaming “MAGA” accounts to “Trump” accounts, and raising the SALT deduction cap to $40,000 for individuals earning under $500,000.
The changes aim to satisfy demands from both conservative and moderate GOP factions. House Speaker Mike Johnson expressed confidence in the measure’s passage, though tensions remain. Democrats criticized the last-minute amendment, which was introduced during a late-night Rules Committee meeting. With a narrow majority, Republicans can only afford to lose three votes. The White House is applying pressure, warning that failure to pass the bill would be a “betrayal.” However, divisions persist, especially over cuts to green energy provisions. A House vote is expected imminently, with Senate approval needed next.
