Billionaire Elon Musk has voiced strong opposition to the sweeping tax and immigration legislation central to President Donald Trump’s agenda. Musk, who recently stepped down as head of the U.S. DOGE Service, referred to the bill as “a disgusting abomination” that would impose “crushingly unsustainable debt” on the nation. His statements, made on X (formerly Twitter), mark a significant escalation in his criticism of the Trump administration, a departure from his previous, more tempered remarks.
For months, Musk had been seen as one of Trump’s close allies, frequently meeting with the president in the Oval Office to advocate for reduced government spending. However, his recent comments complicate the already contentious legislative process for this tax and immigration bill, which narrowly passed the House of Representatives amid conservative dissent over its hefty price tag. According to the nonpartisan Congressional Budget Office, the proposed legislation could increase the national debt by a staggering $2.4 trillion over the next decade.
The Senate is currently reviewing the bill, with Republican leaders aiming for its passage by July 4. The proposal seeks to extend tax cuts established during Trump’s first term and fulfill new campaign commitments, which include eliminating taxes on tips and overtime wages. Additionally, the bill allocates hundreds of billions for defense and immigration enforcement, further intensifying the debate within the party.
Musk's sharp critique resonated with budget-conscious lawmakers. He stated, “This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong.” His assertion that the bill would increase the annual deficit to $2.5 trillion stirred confusion, as it conflated the annual deficit with the projected increase in debt over the next decade.
Following his posts, Musk added, “In November next year, we fire all politicians who betrayed the American people,” demonstrating his growing frustration with the legislative process.
During a Senate lunch meeting with National Economic Council Director Kevin Hassett, the discussion centered around the anticipated economic growth if the bill passes. However, many economists remain skeptical, warning that escalating national debt could stifle private-sector investment. Lawmakers are currently negotiating potential budget cuts, which would reduce more than $1 trillion from social safety net and anti-poverty programs, while also considering the preservation of Biden-era clean energy initiatives that would add to the bill's financial burden.
Musk’s comments have sparked a divide among Republicans. While some, like Senator Ron Johnson, suggested breaking the legislation into smaller, more manageable bills, others, such as Senate Majority Leader John Thune, downplayed Musk's influence. “We have a difference of opinion. He’s entitled to that opinion. We’re going to proceed full speed ahead,” Thune remarked.
In response to Musk's critique, House Speaker Mike Johnson defended the legislation, stating, “With all due respect, my friend Elon is terribly wrong about the One Big Beautiful Bill.” He emphasized that Musk’s concerns about the bill's impact on electric vehicle mandates stem from the government’s role in subsidizing such initiatives.
The legislation primarily aims to extend key provisions of the 2017 Tax Cuts and Jobs Act, which Trump signed into law during his first term. Failure to pass this bill would result in nearly every tax filer facing increased payments. Moreover, the bill earmarks $150 billion for immigration enforcement, further reinforcing Trump’s policy priorities.
To fund the tax cut extensions, the legislation proposes tightening Medicaid eligibility, a move that could leave millions without insurance. Additionally, it would shift costs for the Supplemental Nutrition Assistance Program (formerly food stamps) to the states, potentially leading to significant tax increases or policies that could displace families from the program.
As discussions continue, Trump's administration is eager to use some of the unilateral spending cuts made by Musk’s DOGE initiative to offset the costs of the tax cuts, although many of these cuts are currently facing legal challenges. Musk’s recent departure from the political scene, as he returns to focus on his companies like SpaceX and Tesla, raises questions about the future dynamics between corporate interests and political policy.
In summary, Elon Musk’s outspoken criticism of Trump’s tax and immigration bill highlights a growing rift within the Republican party and raises important questions about fiscal responsibility and the future direction of U.S. economic policy.