President Trump Signs “One Big Beautiful Bill” on July 4th
Massive financial package includes tax and spending cuts, still swells national debt
President Donald Trump signed the GOP’s “One Big, Beautiful Bill” (OBBB) into law Friday afternoon during July 4 celebrations at the White House. The massive financial package, which includes sweeping tax cuts and major federal spending provisions, was finalized after weeks of tense negotiations between House and Senate Republicans over social program cuts, tax breaks, and the federal deficit.
Trump signed the bill during a picnic honoring Military Families with jets flying overhead, and a gavel from House Speaker Mike Johnson (R-LA) placed symbolically at his side.
The House passed the legislation in a tight 218–214 vote on Thursday, following the Senate’s approval the day before. The final version reflected significant changes from the original proposal, particularly after internal Republican clashes over how deeply to cut Medicaid and food assistance. In the end, Speaker Johnson and Senate Majority Leader John Thune (R-SD) made good on their promise to place the bill on Trump’s desk by the President’s July 4 deadline.
Trump praised the OBBB as a cornerstone of his renewed economic agenda. “America’s winning, winning, winning like never before,” he said during the signing, calling the law “a major win for freedom, prosperity, and the forgotten men and women of this country.” His remarks were met with cheers from the crowd of service members and their families gathered on the South Lawn.
The OBBB delivers several high-profile changes to the tax code. It makes the 2017 Trump-era tax cuts permanent and introduces new deductions, including up to $25,000 in untaxed tips and $12,500 in untaxed overtime pay. Seniors will now qualify for a $6,000 per-person deduction. The cap on state and local tax (SALT) deductions was raised to $40,000 for five years, offering significant relief to taxpayers in high-cost states.
Beyond taxes, the bill also includes major federal spending increases. More than $150 billion will go to immigration enforcement, and another $150 billion is earmarked for the military, including upgrades to missile defense systems like the “Golden Dome.” Republicans hailed these provisions as essential to national security and border integrity.
However, the OBBB also imposes strict cuts to social safety net programs. Medicaid and the Supplemental Nutrition Assistance Program (SNAP) will face deep reductions, along with new work requirements that critics say could affect millions of low-income families. The Congressional Budget Office (CBO) estimated the bill could push 12 million Americans off health coverage while adding between $2.8 trillion and $3.4 trillion to the national debt over the next decade.
Democrats have responded with sharp criticism. House Minority Leader Hakeem Jeffries (D-N.Y.) denounced the bill as “a crime scene” targeting the vulnerable. Ken Martin, vice chair of the Democratic National Committee, accused Trump and the GOP of abandoning working families in favor of tax breaks for the wealthy. “Trump sealed the fate of the Republican Party today as the party of billionaires and special interests,” Martin said.
While Republicans celebrate the bill as a legislative and policy victory, the long-term political fallout remains uncertain. With the 2026 midterms approaching, Democrats plan to make the OBBB a key part of their campaign to reclaim control of Congress. Meanwhile, Trump is already pointing to the law as proof that his agenda delivers results. As he told the crowd on Independence Day, “This is what real leadership looks like.
The President’s remarks and the signing of the OBBB may be seen on YouTube and below:
