President Donald Trump’s tax cuts are set for permanent extension after the House narrowly passed a $5.8 trillion over ten years concurrent budget resolution that seemed poised to fail.
If the Trump tax cuts expire, as they are set to do at the end of this year, the average taxpayer will see a 22% tax hike as well as their guaranteed deduction slashed in half. The child tax credit would also reduce from $2,000 per child to $1,000 per child, The Center Square previously reported.
House Speaker Mike Johnson, R-La., had to postpone the Wednesday night vote after too many Republicans balked around supporting the bill, which authorizes a $5 trillion debt ceiling increase.
The Committee for a Responsible Federal Budget warned that the Senate’s plan will add at least $5.8 trillion to the federal deficit over the next ten years, costing as much as the 2017 TCJA, CARES Act, American Rescue Plan, and Bipartisan Infrastructure Law combined.
The passage of the resolution kicks off the budget reconciliation process in earnest, as House and Senate committees will begin crafting program-specific legislation fulfilling the spending and saving requirements to enact Trump’s tax, border, and energy agenda.
