Berliner Boersenzeitung - Republicans eye key votes on Trump tax cuts mega-bill

Three key House committees are slated to finalize and vote on their portions of Trump's much-touted "big, beautiful" bill, led by a roughly $5 trillion extension of his 2017 tax relief.

Republicans are weighing partially covering the cost with deep cuts to the Medicaid health insurance program that benefits more than 70 million low-income people.

Before it can get to Trump's desk, the package must survive votes of the full House and Senate, where Republicans have razor-thin controlling margins.

"The bill delivers what Americans voted for -- tax policies that put working families first -- and kick-starts a new golden era of American prosperity and strength," said Jason Smith, chairman of the Ways and Means Committee, which is charged with drafting the tax proposals.

The marathon committee debates are expected to continue into the night and even spill into daytime Wednesday ahead of a make-or-break full House vote planned for next week.

If any of the committees fall short, the timetable for ushering in Trump's priorities could be upended.

As the Republican billionaire seeks to cement his legacy with lasting legislation, every week is seen as crucial ahead of 2026 midterm elections that could see his grip on the levers of power weakened.

But the package is threatened by bitter infighting, with conservatives angling for much deeper cuts and moderates worried about threats to health coverage.

Republicans plan to slash more than $700 billion from health care alone, which would leave several million people without coverage, according to a nonpartisan estimate by the Congressional Budget Office.

-'Handouts for billionaires' -

Democrats have angrily defended at-risk entitlements and hit out at tax cuts they say are a debt-inflating gift to the rich, funded by the middle class.

On the tax front, House Republicans released a nearly 390-page bill Monday detailing where they want to raise revenues to cover Trump's promised extension of the expiring 2017 tax cuts.

The Joint Committee on Taxation estimates that this portion of the package will mean $3.7 trillion in lost revenue between 2025-2034, when savings in the text are taken into account.

The president appears on course to get most of what he wants -- including a four-year pause on tax on tips, overtime and interest on loans for American-made cars.

There are big tax hikes on the endowments of wealthy colleges such as Harvard, Yale and Princeton, and an aggressive roll-back of Joe Biden's clean energy tax credits.

But Republicans representing districts in high-tax states have rejected as too low a proposed increase in the relief they get in state and local taxes (SALT) from $10,000 to $30,000.

Democrats hosted a press event at the US Capitol to decry the proposed cuts ahead of the committee meetings, deploying a mobile billboard criticizing Republicans over the Medicaid proposals.

"Let's be clear: There's nothing moderate, efficient, or reasonable about Donald Trump and Republicans' dangerous plans to gut health care and force kids to go hungry so they can fund tax handouts for billionaires," said Democratic National Committee spokesperson Aida Ross.

At a protest outside one of the committee rooms at least 25 people were arrested, according to US media, citing police who did not immediately respond to a request for details.

(A.Berg--BBZ)