As the Republican Party grapples with deep divisions over a sweeping tax bill, President Donald Trump visited Capitol Hill in an effort to unify party members and push the legislation forward. The proposal, which Republican lawmakers have labeled one of the most consequential in a generation, touches the lives of nearly all Americans — from changes to Medicaid and children’s tax credits to new requirements for asylum seekers.
"It's important for the country," he said. "It's not important for me, it's important for the country."
The proposed legislation includes significant alterations to Medicaid, seeking to impose work and education requirements for beneficiaries. Parents of newborns could see changes to the child tax credit, while older Americans may face new tax liabilities. Additionally, the bill proposes tax exemptions for service industry workers on tips, and for the first time, introduces a fee of $1,000 for asylum seekers.
Despite the significance of the bill, internal divisions persist among House Republicans. Some members argue that the proposed changes to Medicaid are insufficient, fearing that the program’s costs are contributing to national debt. Others express concern that tightening eligibility could lead to millions losing access to health insurance.
President Trump told members of Congress not to touch Medicaid, sources inside of the meeting told Scripps News.
"I said: waste, fraud and abuse for Medicaid," President Trump said after the meeting. "If you find waste or fraud or abuse, we want to strengthen Medicaid. We want to strengthen Medicare."
Those divisions reportedly showed at times during Tuesday's meeting. President Trump brushed off such criticism. He said that there might be one or two Republican "grandstanders," but he blamed Democrats for holding up the bill. Democrats comprise a minority of members in both the House and Senate.
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President Trump's visit is deemed critical by many lawmakers who look to him as a unifying force amid ongoing tensions within the House Republican Conference. His historical ability to rally party members around key issues is under scrutiny, especially with a tight timeline ahead of a potential vote on the legislation later this week.
The tax bill passed the influential House Budget Committee late Sunday and is expected to face the Rules Committee early Wednesday morning. Democrats have criticized the hasty advancement of the bill, claiming it is being pushed through without proper scrutiny. Nonetheless, Republicans are intent on passing the bill before the Memorial Day weekend recess.
One Republican lawmaker said, "It's go time" regarding the urgency to advance the legislation.
The immigration components of the bill are also attracting attention, particularly the proposed $6 billion cost to taxpayers associated with new enforcement measures aimed at illegal immigration. Advocates have spoken out against the proposal to charge asylum seekers a fee, arguing it would further burden individuals fleeing persecution.
While immigration remains a focus, the most contentious issues may still revolve around Medicaid reforms and the SALT (state and local tax) deductions debate, which has become particularly pressing for Republicans from high-tax states like New York.
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As the legislation moves forward, any changes made in the Senate will trigger a return to the House for final approval, making the weeks ahead pivotal for both the tax bill and Republicans’ broader legislative goals. Lawmakers aim to have the bill on President Trump's desk by July 4, aligning with concerns over raising the nation’s debt ceiling and the potential economic ramifications of a federal default.
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