WASHINGTON (AP) 鈥� President Donald Trump鈥檚 big bill making its way through Congress will cut taxes by $3.75 trillion but also increase deficits by $2.4 trillion over the next decade, according to an analysis released Wednesday by the nonpartisan Congressional Budget Office.
The CBO also estimates an increase of 10.9 million people without health insurance under the bill by 2034, including 1.4 million who are in the country without legal status in state-funded programs.
The package would reduce federal outlays, or spending, by nearly $1.3 trillion over that period, the budget office said.
鈥淩epublicans cry crocodile tears over the debt when Democrats are in charge 鈥� but explode it when they鈥檙e in power,鈥� said Rep. Brendan Boyle of Pennsylvania, the top Democrat on the House Budget Committee.
鈥淚n the words of Elon Musk,鈥� Boyle said, reviving the billionaire and former Trump aide鈥檚 criticism of the package, 鈥渢his bill is a 鈥榙isgusting abomination.鈥欌��
The analysis comes at a crucial moment in the legislative process as to have the final product on his desk to sign into law by Fourth of July. The work of the CBO, which for decades has served as the official scorekeeper of legislation in Congress, will be weighed by seeking to understand the budgetary impacts of the sprawling 1,000-page plus package.
Ahead of CBO鈥檚 release, the White House and Republican leaders criticized the budget office in a pre-emptive campaign designed to sow doubt in its findings.
White House Press Secretary Karoline Leavitt said CBO has been 鈥渉istorically wrong鈥� and Senate Majority Leader John Thune said the CBO was 鈥渇lat wrong鈥� because it underestimated the potential revenue from Trump鈥檚 first round of tax breaks in 2017. The CBO last year said receipts were $1.5 trillion or 5.6% greater than predicted, in large part because of the 鈥渂urst of inflation鈥� during the COVID-19 pandemic in 2021.
Leavitt also suggested that CBO鈥檚 employees are biased, even though certain budget office workers face strict ethical rules 鈥� including restrictions on campaign donations and political activity 鈥� to ensure objectivity and impartiality.
Alongside the costs of the bill, the CBO had previously estimated that 8.6 million people would no longer have health care and 4 million fewer would have food stamps each month due to the legislation鈥檚 proposed changes to Medicaid and other programs.
The bill, called the 鈥淥ne Big Beautiful Bill Act鈥� after the president鈥檚 own catch phrase, is grinding its way through Congress, as the top priority of Republicans, who control both the House and Senate 鈥� and face stiff opposition from Democrats at every step in the process.
Democrats call it Trump鈥檚 鈥渂ig, ugly bill.鈥�
All told, the package seeks to extend the individual income tax breaks that had been approved in 2017, but will expire in December if Congress fails to act, while adding new ones, including no taxes on tips. It also includes a massive buildup of $350 billion for .
To help cover the lost revenue, Republicans want to slash some federal spending. They propose phasing out green energy tax breaks put in place during Democrat Joe Biden's presidency. New work requirements for some adults up to age 65 on Medicaid and the Supplemental Nutrition Assistance Program, known as SNAP, would begin in December 2026 and is expected to result in less spending on those programs.
The package also would provide a $4 trillion increase to the nation鈥檚 debt limit, which is now $36 trillion, to allow more borrowing. The Treasury projects the debt limit will need to be raised this summer to pay the nation鈥檚 already accrued bills.
Now in its 50th year, the CBO was established by law after Congress sought to assert its control, as outlined in the constitution, over the budget process, in part by setting up the new office as an alternative to the White House鈥檚 Office of Management and Budget.
Staffed by some 275 economists, analysts and other employees, the CBO says it seeks to provide the Congress with objective, impartial information about budgetary and economic issues.
Its current director, Phillip Swagel, a former Treasury Department official in Republican President George W. Bush鈥檚 administration, was reappointed to a four-year term in 2023.
Lisa Mascaro, The Associated Press
