Trump's Major Bill Advances In Senate Amid Late-Night Vote, SALT Provision Compromise Stirs Controversy

In a late-night voting session, Senate Republicans have successfully advanced a significant bill backed by President Donald Trump. The bill encompasses tax breaks, spending cuts, and an increase in deportation funds.

What Happened: The Senate Republicans managed to clear a crucial procedural step in a tense Saturday session. The vote count of 51-49 followed a tumultuous night, with Vice President JD Vance on standby to break a potential tie.

Despite facing opposition from Democrats, Republicans are leveraging their majorities in Congress to push the bill forward.

However, the journey has not been smooth, with a series of political and policy setbacks. Not all GOP lawmakers are in agreement with the proposed spending cuts on Medicaid, food stamps, and other programs, which are intended to offset the cost of some $3.8 trillion in Trump tax breaks.

As per the report by The Associated Press, Senate Majority Leader John Thune (R-S.D.) expressed his eagerness to pass the legislation, stating, “It’s time to get this legislation across the finish line.”

However, President Trump’s bill also faced resistance from within his own party. Sen. Thom Tillis of North Carolina voiced his inability to support the bill due to the severe Medicaid cuts it proposed. Both Tillis and Sen. Rand Paul of Kentucky voted against the bill.

The bill, dubbed the “One Big Beautiful Bill Act,” was unveiled just before midnight on Friday. Senators are expected to engage in debates and amendments over the coming days. If passed, the bill will return to the House for a final round of votes before it can reach the White House.

Also Read: Amid Trump’s Anti-EV Push, Senate Republicans Propose Tax Bill To Axe $7500 EV Credit

SALT Provision Compromise Stirs Controversy

According to reports, the Senate has included a compromise in their final draft regarding the so-called SALT provision, a deduction for state and local taxes.

This has been a top priority for lawmakers from high-tax states like New York. The current SALT cap stands at $10,000 a year, but some Republicans have been advocating for a boost to $40,000 a year. The final draft includes a $40,000 cap, but limits it for five years.

This has drawn criticism from many Republican senators who believe it’s too generous, while House Republicans are not fully satisfied either.

The updated bill also introduces a new production tax credit for metallurgical coal, used in steelmaking, aligning with GOP support for the fossil fuel industry. The bill notably reduces subsidies for clean power sources like wind and solar, along with tax credits for buying electric vehicles, and instead includes incentives for the coal industry.

The new text also provides a bonus incentive for advanced nuclear facilities built in communities with high levels of employment in the nuclear industry. Additionally, the bill makes metallurgical coal eligible for the advanced manufacturing production tax credit through 2029.

Why It Matters: The advancement of this bill marks a significant step in the Trump administration’s legislative agenda. The proposed tax breaks and spending cuts could have far-reaching impacts on the economy and public services.

However, the bill’s future remains uncertain due to the lack of unanimous support within the GOP and staunch opposition from Democrats. The coming days will be crucial in determining the fate of the “One Big Beautiful Bill Act.”

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