MAGA's "Beautiful Bill" Cuts Healthcare for 8 Million to Give Elon and Zuckerberg a Tax Break
In a brutal new budget bill, Republicans are gutting Medicaid—putting poor kids, seniors, and working families at risk—to extend Trump-era tax cuts for the rich.
They’re gutting Medicaid so billionaires can buy a third yacht.
Dropped at 1 a.m. while the country slept, the MAGA-backed “One Big Beautiful Bill” is a Trojan horse—packed with brutal Medicaid cuts that would strip healthcare from millions.1
Now Republicans are racing to ram it through using budget reconciliation, sidestepping a filibuster and dodging debate.
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The Fine Print That Hurts the Most
The bill’s Republican authors are hoping the name distracts you from what’s inside.
Here’s what it actually does to Medicaid:
Adds an 80-hour per month work requirement for anyone deemed “able-bodied” and without dependents.
Increases verification requirements—you’ll now have to prove eligibility twice a year instead of once.
Ends pandemic-era federal funding support, effectively raising costs for states.
Strips Medicaid from immigrants without specific documentation, even in states that allow broader access—pulling funding from those states entirely.
Eliminates the “provider tax” tool some states use to fund their Medicaid programs, which could bankrupt hospitals and nursing homes.
The result?
According to the Congressional Budget Office, over 8 million people will lose coverage—most of them children in poverty and elderly Americans.
All This… for What?
The kicker?
These Medicaid cuts aren’t about reducing waste.
They’re being used to pay for massive tax cuts for the wealthiest Americans.
The bill extends and expands key parts of the Trump tax cuts—cutting the top income tax rate, increasing exemptions for estates and gifts, and permanently lowering taxes on business income.
In plain English: they’re taking healthcare from low-income Americans to boost after-tax profits for Mark Zuckerberg, Elon Musk, and other billionaires.
Let’s Be Clear: These Are Cuts
Republicans are already trying to spin this as "reducing fraud, waste, and abuse."
But make no mistake—this is a cut. A brutal one.
Hospitals in rural areas and low-income communities are sounding the alarm. Many are already operating on the brink.
Nursing homes, too, will be hit just as the Baby Boomer generation enters elder care en masse.
And this bill hasn’t even hit the Senate yet.
A Tax Giveaway Wrapped in a Healthcare Crisis
While the Medicaid cuts are devastating, they're just the beginning.
The "One Big Beautiful Bill" is a sweeping legislative package that extends and expands the Trump-era tax cuts, introducing new deductions for tips, overtime, automobile loan interest, and Social Security income.
It also proposes tripling the state and local tax (SALT) deduction cap.2
To offset these tax breaks, the bill includes deep reductions in Medicaid and green energy programs.
It targets clean energy tax credits and key pollution regulations established under the Biden administration, aiming to reclaim $6.5 billion in unspent funds from climate programs.
Additionally, the legislation proposes allocating up to $5 billion annually for private school vouchers, diverting resources from public schools.
The estimated cost of the bill may escalate, possibly reaching $20 trillion over a decade, raising concerns about its impact on the federal deficit.
Update: More Giveaways Buried in the Fine Print
Since publishing, I’ve dug further into the 100+ page bill—and found even more hidden gems the GOP hopes you won’t notice:
No Taxes on Tips
Tipped workers won’t owe federal income tax on reported tips.
Sounds good in isolation—but it’s being used to sell the larger package that slashes healthcare, education, and climate programs.
It’s a political sweetener with a bitter core.
MAGA Accounts
A new pilot program gives $1,000 “MAGA savings accounts” to children born between 2025–2028.
Marketed as a pro-family initiative, it’s offset by gutting programs that support those same families today.
More Perks for the Wealthy
A permanent increase in the estate tax exemption (benefiting multi-millionaires)
Expands the 20% pass-through deduction to 23%, helping top earners
Lifts the SALT deduction cap, largely benefiting high-income households
Expands the child tax credit—but excludes many immigrant families
New deductions for overtime pay and auto loan interest (up to $10K, only for U.S.-assembled cars)
Still More Hidden Measures
A 5% tax on remittances—hitting immigrants who send money to family abroad
A massive tax hike on private university endowments, jumping from 1.4% to 21%
Eliminates the new free federal tax-filing system, pushing taxpayers back to commercial services
Greenlights the IRS to use AI to hunt for tax evasion (while cutting staff support in other areas)
And remember—this entire package is being rushed through budget reconciliation to avoid a filibuster.
No bipartisan debate. Just raw power.
What Happens Next—and What You Can Do
Because it’s a budget reconciliation bill, it only needs a simple majority in both the House and Senate.
No filibuster.
No bipartisan support. Just raw power.
But there’s a weak link.
Several moderate Republicans in swing districts have said they won’t vote for Medicaid cuts.3
These lawmakers are vulnerable in 2026 and already facing heat at home.
That’s where you come in.
📞 Call your representative—especially if they’re a Republican—and tell them: Don’t gut Medicaid to give billionaires a tax break.
🗣️ Talk about this with your community. Most people have no idea what’s in this bill yet.
📩 Share this article with someone who needs to see it.
Final Thoughts
This isn’t just about numbers in a spreadsheet.
It’s about families being forced to choose between medicine and food. It’s about seniors losing access to nursing care.
It’s about what kind of country we want to be.
If you believe we should care for our most vulnerable—not cater to billionaires—then now’s the time to speak up.
Help Sound the Alarm
This story isn’t getting the coverage it deserves—and that’s exactly what they’re counting on.
If this made you angry, if it made you worried—share it.
Email it. Text it. Post it. Talk about it at the dinner table.
Every person who sees this is one more voice that can push back.
One more person who might call their rep. One more voter who won’t be fooled.
Let’s make sure the public knows what’s coming—before it’s too late.
Share this article and help get the word out.
https://waysandmeans.house.gov/wp-content/uploads/2025/05/SMITMO_017_xml.pdf
https://apnews.com/article/congress-tax-cuts-republicans-medicaid-67013369b771d02c0128ee6421f302eb
https://apnews.com/article/medicaid-cuts-trump-tax-bill-house-gop-257e1d90a69059dcf8c7b23cb6eefa69
https://open.substack.com/pub/messagebox/p/trump-wants-to-cut-medicaid-heres?r=x4qvo&utm_medium=ios