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The White House is challenging non-partisan Congressional Budget Office assessment that President Donald Trump’s tax and spending package will increase Federal deficit Over the next decade, trillions of dollars.
Treasury debt is currently at $36.2 trillion, tracking what the U.S. owes creditors, while the national deficit measures how much federal government spends more than its revenues. According to the Treasury Department, federal spending so far exceeded $1 trillion than collected this fiscal year.
The Congressional Budget Office (CBO) released Wednesday analysis The House of Representatives, which is predicted to be “big, beautiful, billed” in May, will increase the federal deficit by $2.4 trillion over the next 10 years.
But according to the White House Analysis of CBO It is based on a false premise because it assumes that Republicans in Congress will not be able to extend Trump’s 2017 tax cuts.
Instead, the White House Office of Management and Budget (OMB) predicts that tax and spending measures will independently reduce the deficit by $1.4 trillion.
According to Russell Vorge, director of management and budgeting, failure to pass Trump’s tax package will trigger a recession. (Kayla Bartkowski/Getty Images)
In addition, the White House believes that the measure, along with other initiatives such as tariffs and other spending cuts, will result in a deficit of at least $6.6 trillion in 10 years.
“Big, Beautiful, Bill” faces criticism from figures including SpaceX and Tesla CEO Elon Musk, who labeled the measure “abhorrent” and believed the bill would increase the federal deficit.
Now, the measure goes to the Senate, including Senator Rand Paul, RK.Y. They all expressed opposition to legislation.
Trump’s “big and beautiful bill” faces Republican senators’ boycott of debt concerns
Senator Rand Paul (R-Ky) was working to push President Donald Trump’s spending and tax bill. (J. Scott Applewhite/AP)
Meanwhile, OMB director Russell Vought told lawmakers on the House Appropriations Committee on Wednesday that he believes the CBO’s analysis is “basically wrong.”
“This will result in a $1.4 trillion reduction in deficit and debt,” Vought said. “This will reduce a $1.7 trillion mandatory savings. I think the way they build benchmarks can not only shock economic growth, but also fundamentally misunderstand the economic consequences of not expanding current tax breaks.”
According to Vought, failure to pass Trump’s taxes will trigger a recession.
“We’re going to have a recession,” Vought told lawmakers. “The economic storm cloud will be very dark. I think we’re going to increase taxes by 60% in the United States.”
Meanwhile, the White House accused the CBO of hiring those who contributed to the Democratic campaign, even though CBO director Phillip Swagel served in the administration of former President George W. Bush.
Price tag for Housing Republican Tax Kit is estimated to rise to $3.94T
White House Press Secretary Karoline Leavitt addressed a White House briefing in Washington on June 3, 2025. (Evan Vucci/AP)
“I don’t think a lot of people know that since 2000, there hasn’t been a single employee in the entire Congressional Budget Office that has contributed to Republicans,” Levitt told reporters on Tuesday. “But guess what, there are a lot of staff in the Congressional Budget Office that have contributed to Democratic candidates and politicians.
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The CBO Director is appointed on recommendations from the House and Senate Budget Committees. It was a gift at that time. Mike Enzi of R-Wyoming first recommended Swagel in 2019, followed by Rep. Jodey Arrington of R-Texas again recommended Swagel in 2023.
The CBO did not immediately respond to a request for comment from Fox News Digital about OMB’s analysis, or the White House’s claim that the office was full of support for Democratic employees.
Deirdre Heaveny of Fox News contributed to the report.
