President Donald Trump has signed the “One Big Beautiful Bill,” a sweeping piece of legislation that overhauls the U.S. tax code, expands spending on defense and border security, and introduces new industry incentives, all while contributing an estimated $3 trillion to the national deficit over the next decade.
As Americans celebrated the 249th anniversary of their nation’s founding, President Donald Trump enacted a nearly 900-page piece of legislation known as the “One Big Beautiful Bill.” This comprehensive reform affects the U.S. tax system, increases funding for defense, border security, and infrastructure, and provides various industry-specific incentives and subsidies. Despite these changes, the legislation will likely add $3 trillion to the national deficit within the next ten years.
While the bill encompasses a wide array of provisions impacting all Americans, it poses particular challenges for immigrant communities, including Indian Americans. Of significant concern is the allocation of $170 billion for border security and immigration enforcement. Within this, $75 billion is designated for the Immigration and Customs Enforcement (ICE), an agency that has faced criticism for its aggressive tactics concerning undocumented immigrants.
Indian nationals, who make up approximately 6% of the U.S. immigrant population, are particularly impacted. The Indian diaspora has already witnessed alarming enforcement actions, with dozens of undocumented Indian immigrants deported earlier this year. The expansion of ICE funding heightens fears that such deportations could increase in frequency.
It’s not just undocumented immigrants who are affected; the legislation has also triggered anxiety among Indian nationals legally residing in the country on H-1B visas. More than a million Indian nationals are currently caught in a significant green card backlog, attributed to a legislative cap that limits employment-based green cards from any single country to 7% of the annual total of 140,000. This translates to only 9,800 green cards annually for Indian applicants, many of whom are highly skilled workers, leading to wait times that could extend for decades.
The exact impact of the new legislation on H-1B holders remains to be seen, yet there is heightened concern. The “America First” ideology, which opposes foreign labor, combined with increasing scrutiny of visas, raises fears of stricter enforcement. Indian students with F-1 visas also experience growing vulnerability amid increased enforcement of policies against campus protests and free speech.
Beyond immigration issues, there are financial provisions in the law that affect diaspora households, notably a 1% tax on international remittances starting next year. Although initially proposed at a 5% rate, intense lobbying from the money transfer industry led to its reduction. Remittances from the U.S. to India, estimated to range between $25 billion to $29 billion annually, represent the largest total sent from any one country.
The legislation also proposes substantial reductions in critical public services, including a $1 trillion cut in Medicaid spending over the next decade, potentially leaving 10 million more Americans without health insurance coverage. Despite a perception of affluence among Indian Americans, many families, especially recent immigrants or those in lower-wage jobs, rely heavily on public health programs for essential services.
On a broader scale, the macroeconomic implications of the bill have been criticized for exacerbating the federal debt, which already stands at over $36 trillion. From visa holders facing an increasingly hostile immigration environment to families dependent on remittances and public health programs, the wide-reaching effects of the new law are deeply personal.
In its effort to emphasize “America First,” the “One Big Beautiful Bill” may inadvertently alienate many, including Indian Americans who have long pursued the American dream.