White House predicts up to $2.3T in growth-induced deficit reduction from tax bill

White House predicts up to $2.3T in growth-induced deficit reduction from tax bill


The White House projected that the tax provisions in the Senate version of the One Big Beautiful Bill Act would reduce deficits by up to $2.3 trillion because of the economic growth spurred by the legislation.

The Council of Economic Advisers released its latest analysis of the Senate’s reconciliation legislation on Wednesday morning. The agency said that the bill would result in a $2.1 to $2.3 trillion deficit reduction over a decade due to the growth sparked by the tax provisions.

The CEA estimates differ from those of other budget analysts, who have found that the combined tax and spending measures would actually increase deficits.

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The CEA report additionally found that $1.3 to $3.7 trillion in additional offsetting deficit reduction over 10 years was brought on

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