A key legislative hurdle has been cleared for President Donald Trump’s administration in its bid to implement a sweeping tax reform package, but the road ahead is uncertain after a crucial vote on Friday.
The House Budget Committee rejected the proposal, which includes a contentious 5% tax on remittances sent back to Mexico and other countries, by a margin of 16-21. The setback came as several Republican lawmakers joined Democrats in voting against the legislation.
This unexpected development marks a significant blow to Trump’s efforts to push through his tax reform package, dubbed the “One Big Beautiful Bill.” The proposal aims to formalize some of the tax breaks introduced during his first presidency and includes measures that would cut subsidies for universities considered progressive, medical aid, and green energy projects.
Just two days ago, another key committee, the Ways and Means Committee, had voted in favor of the bill. However, on Friday, a combination of Democrats and hardline conservatives came out against it, citing concerns about its potential impact on vulnerable communities.
In a statement before the vote, President Trump urged Republican lawmakers to pass the package, warning that failure to do so would have dire consequences for the country. On his social media platform, he wrote: “Republicans MUST UNITE behind ‘THE ONE BIG BEAUTIFUL BILL!’ Not only does it cut taxes for ALL Americans, but it will also cut off Medicaid for millions of undocumented immigrants to protect those who truly need it.”
However, Trump’s call to action appears to have fallen on deaf ears. The vote has effectively paralyzed House Speaker Mike Johnson’s attempt to pass the package next week, with holdout lawmakers vowing to stay through the weekend to negotiate changes.
As tensions rise, President Trump is expected to return from his trip to the Middle East and resume negotiations with Republican lawmakers.
Source: La Jornada
