WASHINGTON D.C. The House passed the big beautiful bill today. It’s not headed to President Trump’s desk for a signature. I break down what’s in the legislation.

Key Provisions of the Big Beautiful Bill

Permanent Tax Relief

At the heart of the legislation is the permanent extension of the 2017 Trump tax cuts, which were originally set to expire. This includes:

• Lower income tax rates across all brackets

• An expanded standard deduction

• A permanent increase in the Child Tax Credit

• Full deductions for tips and overtime income

• A new tax credit for parents of newborns, known as the “Trump Account,” which acts as a federal savings vehicle for children

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In addition, the bill raises the state and local tax (SALT) deduction cap from $10,000 to $40,000 through 2028, a move expected to benefit middle- and upper-middle-class families.

Medicaid and SNAP Overhaul

The bill includes major reforms to federal welfare programs, especially Medicaid and the Supplemental Nutrition Assistance Program (SNAP). Key changes include:

• New work requirements for able-bodied adults on both programs

• Cost-sharing increases for Medicaid recipients

• A shift of certain administrative responsibilities to state governments

According to estimates from nonpartisan policy groups, these changes could reduce or eliminate health coverage for more than 10 million low-income Americans and lead to cuts in food assistance for several million more.

Immigration Enforcement and Border Security

The legislation allocates $150 billion for enhanced immigration enforcement. This includes:

• Expansion of the U.S. Border Patrol and ICE

• Funding to resume construction of the border wall

• Increased capacity for detention and deportation, aiming to remove up to 1 million undocumented immigrants annually

These measures have drawn sharp criticism from immigration advocates but are being championed by conservatives as a fulfillment of long-standing campaign promises.

Defense and NASA Funding

The bill delivers a significant increase in military and space exploration funding. Highlights include:

• Hundreds of billions for new defense technology, including missile defense and drone programs

• Nearly $10 billion for NASA, with specific allocations to relocate the Space Shuttle Discovery to Houston and expand moon and Mars exploration programs

Clean Energy Rollbacks

One of the more controversial aspects of the bill is its rollback of green energy tax credits. These include:

• Phase-out of tax incentives for electric vehicles, solar panels, and wind energy

• New tariffs on foreign-manufactured clean energy components

Additionally, an effort to ban state-level AI regulation for 10 years was included in the original version of the bill but was ultimately dropped after objections from both parties.

Other Key Elements

• Student loan reforms: The bill eliminates income-driven repayment options and tightens Pell Grant eligibility while taxing university endowments.

• Firearm policy: Removes the federal $200 tax on firearm suppressors.

• Social Security: Reaffirms a no-tax provision on Social Security income for middle- and lower-income seniors.

• New remittance tax: A small fee will be applied to money sent abroad via wire transfer services.

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Debt Ceiling and Deficit Concerns

One of the most contentious aspects of the Big Beautiful Bill is its projected cost. By extending tax cuts and increasing defense and border spending while slashing safety-net programs, the bill will raise the national debt by an estimated $3 to $4 trillion over the next decade.

The bill also raises the federal debt ceiling by approximately $5 trillion, preventing a default on U.S. debt obligations but drawing sharp criticism from fiscal conservatives.

Nonpartisan budget watchdogs have warned that the legislation could significantly widen the deficit and place long-term pressure on U.S. fiscal health.

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What Happens Next

With House passage secured and the Senate having already approved the measure in a marathon late-night vote, the bill now heads to President Trump’s desk.

Here’s the timeline:

• Signing Ceremony: Trump plans to sign the bill into law on the morning of July 4, presenting it as a patriotic achievement for the American people.

• Implementation Begins: Federal agencies — including the Treasury, IRS, HHS, DHS, and NASA — will begin rolling out the changes, updating forms, procedures, and enforcement mechanisms.

• Legal Challenges Expected: Several civil rights groups and environmental organizations are expected to file lawsuits challenging the Medicaid changes, immigration enforcement plans, and energy policy rollbacks.

• Political Fallout: With the 2026 midterm elections on the horizon, both parties are expected to use the bill in campaign messaging. Republicans will point to it as a victory for working families and national security, while Democrats will frame it as an attack on the poor and vulnerable.