GOP Tax Bill Would Trigger $25 Billion in Cuts to Medicare, Warns CBO

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House Way and Means Chairman Kevin Brady (R-Texas) and Speaker of the House Paul Ryan (R-Wisconsin), joined by members of the House Republican leadership, introduce tax reform legislation November 2, 2017 in Washington, D.C. (Photo: Win McNamee/Getty Images)

Reprinted from Common Dreams by Julia Conley on November 14, 2017.

Progressives on Tuesday urged Trump critics to voice their opposition to the tax bill that House Republicans are hoping to push through, after the Congressional Budget Office (CBO) reported that the legislation could put billions of dollars in Medicare spending in danger.

Because the bill would add an estimated $1.5 trillion to the federal deficit over the next decade, the CBO said in a letter to Congress, the government would be required to automatically cut mandatory spending should the bill pass, under “pay-as-you-go” rules, also known as PAYGO.

To make up for the deficit increase, the government would have to cut $150 billion in spending every year for the next decade.

Under PAYGO, Medicare spending could legally be cut by up to four percent, amounting to $25 billion dollars in cuts next year for the program under which senior citizens are provided with health insurance. …

Common Dreams 11/14

About Jeffrey Burman 2668 Articles
Jeff Burman represents assistant editors on the Guild’s Board of Directors. He can be reached at jeffrey.s.burman.57@gmail.com.

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