On Wednesday evening, House Republican leaders unveiled some last-minute changes to President Trump’s tax cut and spending bill. These adjustments include raising the limits on state and local tax (SALT) credits and accelerating the timeline for new work requirements under Medicaid.
The alterations were part of an agreement reached after late discussions among Blue State Republicans and the Hardline Conservatives within the House Freedom Caucus, who had previously been withholding their support.
GOP leaders plan to present “one big beautiful bill” for a vote as soon as they navigate it through the House Rules Committee, either late Wednesday night or early Thursday.
The updated provisions propose raising the SALT deduction cap to $40,000 for individuals earning less than $500,000. This mirrors a point of contention for moderate Republican Mike Johnson (R-La.) who faced criticism over it on Tuesday evening.
The earlier version of the bill set a $30,000 deduction cap for individuals earning under $400,000, a proposal that SALT Republicans had strongly opposed.
Moreover, rather than waiting until January 1, 2029, the new Medicaid work requirements will now be implemented by December 31, 2026. This aligns with a demand that conservatives have been advocating for.
This story is still developing.
