• Republican infighting intensifies over tax bill, with Rep. Harris calling latest version worse.
  • Senate unanimously passes popular provision eliminating taxes on tipped income, creating rare bipartisan moment.
  • Deficit concerns mount as analysis shows $3.3 trillion shortfall over a decade.

GOP Tax Bill Faces Mounting Opposition

US State Representative Harris declared the Republican-led tax package "got worse overnight," underscoring growing divisions within the party over the "One Big Beautiful Bill Act." The comments come despite former President Trump's push for unity, revealing fractures between fiscal conservatives and leadership over spending offsets and targeted tax cuts.

The Senate did find rare common ground Wednesday, voting unanimously to eliminate federal taxes on tipped income—a move Democrats quickly embraced. "This proves we can work together on kitchen-table issues," said one Democratic aide, speaking on condition of anonymity. But broader negotiations remain contentious, with Rep. Mike Lawler (NY) leading a faction demanding better terms for state and local tax deductions.

Deficit Dilemma Looms Large

Nonpartisan analysis from the Joint Committee on Taxation shows most taxpayers would see cuts, though higher earners could face increases. The bigger concern for holdouts like Rep. Thomas Massie remains the projected $3.3 trillion deficit expansion over ten years—a figure that's hardened conservative opposition. "We're mortgaging our grandchildren's future for short-term political wins," one GOP staffer told Roic AI.

Market reaction has been muted but wary, with analysts noting volatility around provisions affecting middle-class voters and wealthy estates alike. The bill's front-loaded structure—delaying fiscal offsets while implementing immediate cuts—has drawn particular scrutiny. "It's sugar now, spinach later," remarked a tax policy expert at a major financial firm.

Road Ahead

With Democrats uniformly opposed and Republican margins razor-thin, leadership is scrambling to address concerns about SALT deductions and deficit projections. The tip income provision appears safe, but other elements—like the 2026 estate tax exemption bump—face uncertain futures as negotiations continue behind closed doors. Attempts to reach Rep. Harris for additional comment were unsuccessful.