Tax bill's 'pass-through' rule will aid wealthy, not workers: critics


But the president didn't sign the bill.

"It's very simple... we are making America great again", Trump said to applause.

Mitch McConnell, the Republican Senate leader, says the bill's passage caps a year of "extraordinary accomplishment" for Trump.

"They're going to have to answer for [this] when it comes to the November midterm elections, if people are not entirely sold on the tax cut that they've gotten in their paycheck every couple of weeks".

"Stay mobilized, let your voice be heard", Representative Bonnie Watson Coleman (D-NJ) said Wednesday morning, after the Senate voted, but before the House reconvened.

US President Donald Trump plans to hold a victory celebration at the White House after a massive tax reform bill cleared the House.

But intra-party squabbles had Republicans, who control the House, Senate and White House, searching for the right recipe after they failed to pass a series of regular spending bills for the fiscal year that began on October 1. Still, it passed the House by a vote of 224-201 Wednesday afternoon, with only 12 Republican naysayers.

One of the objections regarded the bill's name, as the Democrats said "Tax Cuts and Jobs Act" does not pertain to the budget.

With economics a key driver of Mr Trump's rise to the White House, how happy they are may go a long way to determining how successful his time in office is. House members approved the bill in a 227-203 vote.

The $1.5 trillion tax package will bring generous tax cuts for corporations and the wealthiest Americans, while providing smaller cuts for middle- and low-income families.

The president called it "above all else a jobs bill", contending that changes to the business tax structure would encourage more companies to relocate operations to the USA and hire more workers. They're called that because the income they generate "passes through" to their owners, who are then taxed under the individual income tax system.

During last year's campaign, President Donald Trump bitterly denounced hedge-fund managers as "paper pushers" who were "getting away with murder". But Senate Democrats signaled they wouldn't go along with that plan, meaning Republicans would either have to play hardball and risk shutting down the government, or they'd have to just swallow another short-term bill.

Republicans steamrolled opposition from Democrats to pass the bill that slashes taxes for corporations and the wealthy while giving mixed, temporary tax relief to middle-class Americans.

Congressional Republicans staring in the face of a government shutdown think it can be averted, but they fear Democrats will sabotage the process.

"Obamacare has been repealed in this bill", the President declared. The JCT, however, found that by 2027 taxpayers earning up to $75,000 would receive a tax increase - this would stem from the sunsetting individual rate cuts in the final GOP bill, along with the repeal of Obamacare's individual mandate.

"You hold the record", he said, adding that Trump has "ended the over-regulation of the American economy".