Lawmakers are racing to pass President Trump’s proposed tax and spending bill by Memorial Day, but internal disagreements within the GOP are causing delays. Key issues include overall spending and proposed clawbacks related to funding and tax credits associated with Biden’s policies. Budget hawks such as Chip Roy, Andrew Clyde, and Lloyd Smucker demand deeper budget cuts to offset the tax revenue decline, with the bill currently proposing $1.5 trillion in spending cuts over a decade. Nonpartisan estimates suggest the tax cuts could result in a $4.5 trillion drop in federal tax revenue over the same period. Additionally, some Republicans, including Sens. Thom Tillis and John Curtis, oppose clawbacks, arguing they restrict investments in manufacturing and increase utility costs for Americans. House Ways and Means Committee Chair Jason Smith indicated that final tax plans are nearing completion, with expectations of a decision in days rather than months, but member Darin LaHood suggested an early June timeline might be more realistic. Crypto legislation may see delays as tax reforms take priority.

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