House Republicans introduced a manager’s amendment late Wednesday night, making changes to President Donald Trump’s large-scale legislative proposal. This amendment aims to unite the GOP around a bill that addresses several key issues.
The amendment includes some notable adjustments. The state and local tax (SALT) deduction cap has been raised from $30,000 to $40,000, a move that has sparked debate among lawmakers. Some Republicans from high-tax states support this change, while others argue it unfairly benefits states with higher taxes at the expense of those with lower taxes. Representative John Rose from Tennessee expressed concern, stating that it feels like a bailout for states like New York and California, funded by taxpayers in states like Tennessee.
Other changes in the amendment include moving Medicaid work requirements up to December 2026, offering incentives for states that have not expanded Medicaid, and speeding up the phase-out of energy tax credits for wind, solar, and battery storage by 2028, with some exceptions. The amendment also proposes renaming "MAGA accounts" to "Trump accounts," which are designed as tax-preferred savings accounts for children.
The House Rules Committee is set to review this manager’s amendment. If they approve it, the full House could vote on the bill as early as Thursday. This legislation is progressing through Congress using the reconciliation process, which allows it to bypass a filibuster in the Senate. The bill aims to fund Trump’s domestic priorities, maintain the tax cuts from 2017, and raise the debt ceiling.
With a slim majority in the House and expected opposition from Democrats, Republicans can only afford a few defections for the bill to pass. Trump has been actively meeting with House GOP members to rally support for the bill, emphasizing its importance to the party’s agenda.