Trump signs tax, spending cut bill at White House

The multitrillion-dollar legislation, which extends Trump’s 2017 tax cuts and imposes significant reductions to social programs, was signed in front of Republican lawmakers, Cabinet members, and supporters on the White House driveway.

House Speaker Mike Johnson presented Trump with the gavel used during the bill’s final passage, which Trump banged down after signing the measure.

The president had set the national holiday as his deadline for Congress to deliver the bill, which passed with near-unanimous Republican support. Fighter jets and stealth bombers flew overhead as part of the Independence Day celebrations.

“America's winning, winning, winning like never before,” Trump told the crowd, referring to last month's bombing campaign against Iran's nuclear program. “Promises made, promises kept, and we've kept them.”

The South Lawn was decorated in red, white, and blue, with music from the US Marine Band and pop hits from Chaka Khan and Huey Lewis adding Trump’s signature style to the festivities. Trump spoke for 22 minutes before signing the bill, highlighting what he described as a string of recent victories, including the Iran campaign and favorable US Supreme Court rulings.

Later, Trump and First Lady Melania appeared on the Truman Balcony to watch fireworks, waving to the crowd as chants of “USA, USA” echoed across the lawn. They danced to “Y.M.C.A.” before departing for New Jersey.

The legislation fulfills several of Trump’s key campaign pledges, including eliminating taxes on tips and Social Security income. Trump called it his “highest-profile win yet” and said, “Our country is going to be a rocket ship, economically.”

However, the bill has drawn sharp criticism from Democrats, labor leaders, and advocacy groups, who argue it benefits the wealthy at the expense of working families.

AFL-CIO President Liz Shuler said in a statement, “Today, Donald Trump signed into law the worst job-killing bill in American history. It will rip health care from 17 million workers to pay for massive tax giveaways to the wealthy and big corporations, amounting to the country’s largest money grab from the working class to the ultra-rich.”

The legislation slashes Medicaid and food stamps by $1.2 trillion and significantly increases immigration enforcement. The Congressional Budget Office projects that nearly 12 million more people will lose health insurance under the new law and estimates it will add $3.3 trillion to the federal deficit over the next decade.

The bill passed the House on Thursday with only two Republican defections and no Democratic support. In the Senate, it cleared by a single vote, with North Carolina Senator Thom Tillis announcing he would not seek re-election after opposing the bill. Vice President Vance cast the tie-breaking vote.

The package reverses major policies from the Obama and Biden administrations, including the rollback of Medicaid expansion and the elimination of tax credits for renewable energy initiatives.

Democratic National Committee Chair Ken Martin described the bill as “devastating,” saying it “sealed the fate of the Republican Party, cementing them as the party for billionaires and special interests — not working families.” He predicted the GOP would lose its congressional majority, calling the bill “a full betrayal of the American people.”

Trump, however, defended the legislation, saying Democrats oppose it because of their “hatred” for him or the country. “Their standard line is to say Republican legislation is dangerous or everybody's going to die,” Trump said. “We can't let them get away with it. It's actually just the opposite, everybody's going to live.”

Trump warned supporters to dismiss Democratic criticism, saying, “If you see anything negative put out by Democrats, it's all a con job.”

The bill is expected to be a major issue in next year’s midterm elections, with Democrats planning rallies, voter drives, and other campaigns to highlight the cuts to social programs.

Although Trump claimed the package is “very popular,” recent polling suggests mixed public opinion. A Washington Post/Ipsos poll found support for elements like eliminating taxes on tips and increasing the child tax credit, but majorities opposed cutting food assistance and spending $45 billion on migrant detention centers, reports UNB. 

 Additionally, around 60% of respondents called the projected $3 trillion increase to the national debt “unacceptable.”