House Budget Blueprint Passes, Would Cut Taxes and Spending
The House GOP’s budget resolution is aligned with the Trump administration’s priorities.
Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
Updated on Feb. 26.
A higher debt limit, spending cuts and tax cuts are all part of the sweeping budget resolution that was approved by the House on Tuesday night.
The measure passed by a razor thin margin of 217 to 215.
The House budget would further much of the Trump administration’s ambitions. Since President Donald Trump took office, he has relied on executive orders and the efforts of his so-called Department of Government Efficiency, or DOGE, to fulfill items on his agenda. Those have included downsizing the federal workforce, as well as probing and dismantling certain government departments.
House Republicans plan to use reconciliation, which requires a simple majority in the Senate to pass. But both chambers must agree on one single bill to bypass the legislative filibuster.
Reconciliation could prove difficult since the Senate Republicans’ approach to the budget is at odds with its House colleagues. Last week, the Senate passed the first of two bills that includes a $150 billion increase for border security and a $175 billion increase for defense. A second Senate bill, to be introduced at a later date, would address tax cuts.
Both houses’ bills are just blueprints, which means specific details on cuts and revenue sources would be made by committees, first during markup and then during reconciliation. Here are some of the highlights of what’s in the House GOP’s bill:
$4.5 trillion in tax cuts over the next 10 years. Trump has said he wants to extend his 2017 Tax Cuts and Jobs Act and axe the tax on tips.
$2 trillion in spending cuts to pay for other parts of the bill such as tax cuts, border security and defense. The bill directs several committees to find programs to cut in order to reduce spending, which could mean cuts to two critical safety net programs: Medicaid and the Supplemental Nutrition Assistance Program (SNAP).
Raising the debt limit to $4 trillion. The U.S. hit its debt limit last month and the Treasury has had to employ extraordinary measures to stave off a default, which would have catastrophic economic consequences. Raising the debt limit would prevent a default.
$100 billion increase to defense spending in the next decade.
$90 billion increase for homeland security, which handles border security.
(Photo by Anna Moneymaker/Getty Images News via Getty Images)
