The US Senate, controlled by the Republican Party, has advanced President Donald Trump’s massive tax and spending bill in a key procedural vote, increasing the likelihood of its passage in the coming days.
The 940-page “megabill”, dubbed by Trump as his “big, beautiful bill”, aims to extend the 2017 tax cuts, lower other taxes, and significantly boost funding for border security, immigration enforcement, and the military. It cleared its first hurdle late on Saturday with a narrow 51-49 vote, following hours of tense negotiations and internal party discord.
Two Republican senators, Thom Tillis and Rand Paul, broke ranks and voted against the bill. Initially joined by Senator Ron Johnson, the three held out for concessions before Johnson ultimately reversed his stance following late-night talks with Vice President JD Vance and other GOP leaders. Senators Rick Scott, Mike Lee, and Cynthia Lummis also pressed for deeper spending cuts before supporting the measure.
Trump celebrated the outcome on social media, calling it a “great victory” for his top legislative priority and praising the bill as “great, big, and beautiful”.
If passed, the legislation would permanently extend tax breaks from Trump’s first term, introduce new tax relief, including eliminating taxes on service tips, and allocate $350bn towards national security. A substantial portion of that would support Trump’s proposed mass deportation agenda.
However, the bill has sparked fierce opposition, both inside and outside Washington. Billionaire entrepreneur and Trump donor Elon Musk publicly denounced the Senate draft on his social media platform, X, calling it “utterly insane and destructive”. Musk warned the bill would “destroy millions of jobs” by penalising renewable energy industries through increased taxation, while favouring “industries of the past”.
Democrats have condemned the proposal as a handout to the wealthy, citing analyses from the nonpartisan Congressional Budget Office (CBO). Under the House-passed version, top income-earners would receive tax cuts averaging $12,000, while the poorest Americans could lose an average of $1,600. The CBO also projected that 10.9 million more people could be left without healthcare, and 3 million fewer would qualify for food assistance.
Senate Democratic leader Chuck Schumer demanded that the entire bill be read aloud before debate, accusing Republicans of trying to force through a “radical” agenda without proper scrutiny.
Among the bill’s more contentious provisions is a cut to the Medicaid provider tax, a tool many states use to secure federal funding for healthcare. After resistance from senators concerned about rural healthcare, the revised draft now delays the cuts and includes a $25bn fund to support rural hospitals.
Despite the late-night victory, the bill remains a political and logistical challenge. Conservative lawmakers are pushing for even deeper spending reductions, citing the nation’s $36.2 trillion debt. Meanwhile, Trump, while urging swift passage, has reportedly sent mixed signals about the timeline.
The Senate is now expected to begin formal debate, with final passage uncertain as negotiations continue behind closed doors. The Ides of July deadline looms, as many provisions from Trump’s first-term tax cuts are set to expire by year’s end if no action is taken.