The United States Senate passed Donald Trump’s marquee tax and spending bill, bringing it close to becoming law, as the president’s feud with Elon Musk exploded again over the world’s richest man’s antipathy toward raising the debt ceiling.
Three Republican senators broke from their party to oppose the One Big Beautiful Bill, requiring Vice President J.D. Vance to cast a deciding vote and break the 50-50 tie on the Senate floor.
Elon Musk and Donald Trump in happier times.Credit: AP
The omnibus bill advances major planks of Trump’s agenda, including about $US4.5 trillion ($6.9 trillion) worth of tax cuts – most of which are extensions of income tax cuts from his first term, which were due to expire at the end of the year.
It also includes spending on defence and immigration enforcement, and cuts to healthcare programs such as Medicaid, which the Trump administration describes as savings attributable to eliminating fraud and waste.
The bill must now return to the House of Representatives, where the Republicans also hold a slim majority, and if passed will go to Trump’s desk for assent.
Read the full report from North America correspondent Michael Koziol.