The US House of Representatives is set to begin voting on a Republican tax and budget bill that largely contains many of President Donald Trump's wish list items. President Trump has informally referred to the tax and budget bill as his "big, beautiful bill," prompting Republican lawmakers to officially rename the document the "One Big Beautiful Bill Act."

Key Republicans have been pushing back against the bill's opponents within their own party after some hardline Republicans voiced their displeasure with the broad outlines of the bill: some feel it doesn't include enough cuts to key federal spending programs like Medicaid, while others feel it does the opposite of the Republican Party's stated goal of reducing the government deficit.

The budget bill is expected to pass on Thursday, and if passed, the One Big Beautiful Bill Act would add an estimated $3 trillion to $4 trillion to the US federal budget deficit over the next decade.

The House Budget Committee managed to assuage Republican complaints about the spending bill by counterintuitively providing more tax relief, increasing the federal tax deduction for individuals earning up to $500,000 a year. The tax bill is expected to pass the House by a narrow majority, before moving on to the U.S. Senate for final revisions and another round of votes before heading to President Donald Trump's desk for his formal signature. (alg)

Source: FXstreet