Trump's tax law will mostly benefit the rich, while leaving poorer Americans with less, CBO says
Share this @internewscast.com

WASHINGTON (AP) — A recent report from the Congressional Budget Office indicates that President Donald Trump’s tax and spending legislation will take a toll on the income of the poorest Americans while benefiting the wealthiest households.

According to the CBO, the bottom 10% of earners will see their annual income drop by about $1,200 due to cutbacks in programs like Medicaid and food assistance. In contrast, the wealthiest 10% will receive a boost of approximately $13,600 thanks to tax reductions. While most American families, including those in the middle class, will gain some additional income from these tax cuts, the most substantial advantages will be enjoyed by those at the top of the income scale.

This report was released while many legislators were out of Washington, focusing on communicating the bill’s impacts to their constituents. Pushed through Congress in July by Republicans and labeled “the big, beautiful bill” by Trump, the measure faced unified opposition from Democrats. They argued that the tax reductions and budget priorities would hurt essential government support programs and exacerbate the national debt.

“This truly benefits billionaires, but makes the poor and the working class in America worse off,” stated Rep. Brendan Boyle, the lead Democrat on the House Budget Committee, during an interview on MSNBC.

The legislation’s revised criteria for food assistance qualifications is anticipated to affect millions, according to the CBO. Approximately 2.4 million individuals may lose eligibility for the Supplemental Nutrition Assistance Program due to new work mandates. Additional restrictions on food and other forms of aid could lead to a further decrease in income for low-income individuals.

Already, more than 10 million Americans are expected to lose health insurance by 2034 due to changes to Medicaid under the law.

In response to the report, Rep. Jason Smith, who leads the House Ways and Means Committee, expressed his disagreement with the CBO’s evaluation methodology, echoing previous criticisms.

“CBO has a troubled track record of getting its estimates incorrect and, like Democrats, is biased in favor of more federal spending and higher taxes,” Smith said on social media. “Don’t buy it.”

Republicans have been eager to sell the upsides of the legislation — arguing that the tax cuts will spur economic growth — while they are on a monthlong summer break from Washington. But those who have held townhalls in their home districts have often been greeted by an earful from voters and activists.

“Tax the rich,” the crowd in Lincoln, Neb. chanted last week as Republican Rep. Michael Flood attempted to defend the bill.

Still, Trump has been undeterred.

“President Trump’s One Big Beautiful Bill is putting America First like never before, delivering huge savings for hardworking families, boosting our economy, and securing our borders,” said White House deputy press secretary Abigail Jackson in a statement last week.

Share this @internewscast.com
You May Also Like
WATCH: Eviction standoff turns war zone as gunman kills deputy in ambush, gets run over by armored vehicle

WATCH: Eviction Standoff Escalates to Tragedy as Gunman Fatally Shoots Deputy, Neutralized by Armored Vehicle

Gunfire erupted in a quiet Central California cul-de-sac following a tense standoff…
Former NY Rep. Eliot Engel dead at 79

Remembering Eliot Engel: Former NY Representative’s Legacy at 79

Eliot Engel, a veteran representative from New York, passed away on Friday…
Navy cancels Biden-era submarine overhaul as costs inflate to nearly $3B

Shocking $3 Billion Surge: Navy Halts Submarine Overhaul from Biden Era

The U.S. Navy has decided to cancel the extensive and postponed refurbishment…
Iran's missing Supreme Leader Mojtaba Khamenei has 'severe and disfiguring wounds': report

Iran’s Supreme Leader Mojtaba Khamenei Reportedly Suffers Serious Injuries: What’s Happening?

Iran’s newly appointed Supreme Leader, Mojtaba Khamenei, is in the midst of…
DHS orders furloughed staff back to work as government shutdown drags on
The Department of Homeland Security (DHS) has instructed all furloughed employees to…
Jerry Nadler protégé Micah Lasher slams ICE during NYC campaign as his wife gets rich off agency contractors

NYC Candidate Micah Lasher Criticizes ICE While Wife Profits from Agency Contracts: A Controversial Campaign Clash

Micah Lasher, the Democratic frontrunner vying to succeed the retiring Rep. Jerry…
Iran threatens to end ceasefire over Hezbollah's exclusion from truce deal

Iran Signals Possible Ceasefire Withdrawal Over Hezbollah’s Omission from Peace Agreement

Mark Dubowitz says Trump holds ‘maximum leverage’ over Iran as ceasefire begins…
Australia’s most decorated living soldier charged amid fierce debate over war crimes allegations

Australia’s Top Decorated Soldier Faces Charges in Heated War Crimes Controversy

American freed by Taliban RETURNS HOME Dennis Coyle from the United States…
Army ROTC cadets recount taking down pro-ISIS shooter at Old Dominion University: 'I could have been next'

Heroic Army ROTC Cadets Neutralize Pro-ISIS Shooter at Old Dominion University: A Firsthand Account

For the first time, the courageous students who intervened during an active…
Hero Marine vet killed while saving family from Ohio house fire

Brave Marine Veteran Tragically Loses Life Rescuing Family from Ohio Blaze

In a somber yet heroic tale from Ohio, a retired Marine veteran…
Chicago dad bludgeoned to death outside bar as police hunt for four persons of interest

Chicago Father Fatally Attacked Outside Bar; Police Seek Four Persons of Interest

In a tragic incident that has left a community in mourning, a…
Video: Disney Parks Quietly Brings Back 'Ladies and Gentlemen' Greeting

Video: Disney Parks Reintroduces Traditional ‘Ladies and Gentlemen’ Greeting

In a surprising move, Disney Parks has reinstated the traditional greeting of…