June 13th, 2025
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An analysis by the Congressional Budget Office (CBO) posits that the Republican tax legislation, as passed by the House of Representatives, could engender an annual decrement of approximately $1,600 for the most impecunious Americans, juxtaposed against an average annual increment of roughly $12,000 for the wealthiest households; households in the median income bracket, however, may experience a marginal accretion of between $500 and $1,000 annually.
The proposed austerity measures impacting low-income households stem from curtailments to social safety net programs, encompassing Medicaid and the Supplemental Nutrition Assistance Program; the legislation further contemplates expanding work requirements for food assistance eligibility and instituting novel "community engagement requirements" for Medicaid, while certain Republicans, including Treasury Secretary Scott Bessent, contest the CBO's analysis, positing potential economic cataclysm should the bill fail to pass, though the CBO maintains that revenue from tariffs would offset the tax reform bill's incurred costs.
June 13th, 2025
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