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Conservatives Block Trump's Tax Breaks Bill in a Stunning Setback

  • House Republicans failed to advance a large tax breaks and spending cuts bill through the Budget Committee on Friday in Washington.
  • The effort collapsed after several conservatives, primarily from the Freedom Caucus, allied with Democrats to oppose the proposal, demanding deeper reductions in expenditures.
  • The package extends 2017 income tax cuts, adds new ones including no taxes on tips and overtime, triples the SALT deduction cap, and cuts over $1 trillion from health and food programs.
  • An independent budget analysis projects that 7.6 million fewer people would have health insurance and monthly SNAP participation would decline by about 3 million, while Republicans argue that economic growth will compensate for the increased deficits.
  • The failed vote stalled Speaker Mike Johnson’s plan for approval next week, forcing the Budget Committee to reconvene Sunday as Trump urges party unity for the 'One Big Beautiful Bill.
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NBC Washington broke the news in Washington, United States on Friday, May 16, 2025.
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