WASHINGTON (Reuters) -The nonpartisan U.S. Congressional Budget Office projected on Tuesday that President Donald Trump’s sweeping tax-cut and spending bill would lead to a $2.8 trillion deficit increase over a decade, despite an increase in economic output.
The budget watchdog issued its dynamic analysis of the legislation that passed the House of Representatives in May, as Senate Republicans considered a revised version of the measure.
Two weeks ago, CBO projected that Trump’s One Big Beautiful Bill Act would add another $2.4 trillion to the federal government’s $36.2 trillion debt over a decade, without considering the potential economic effects. With interest payments from the new debt included, the cost would rise to $3 trillion.
Independent analysts have estimated that the debt increase could reach $5 trillion over a decade under the Senate version, which makes permanent a number of business tax breaks that would sunset under the House bill.
(Reporting by David Morgan; Editing by Scott Malone)
