Journalism of Courage
White House circulates a plan to extend Obamacare subsidies
Most Democratic lawmakers had insisted on a straight extension of the tax credits, which expire at the end of the year, as a condition of keeping the government open.
November 25, 2025 07:45 PM IST
First published on: Nov 25, 2025 at 07:45 PM IST
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President Donald Trump waves to reporters as he departs from the South Lawn of the White House, Saturday, Nov. 22, 2025, in Washington, en route to Joint Base Andrews. (AP Photo/Jose Luis Magana)
The White House is circulating a proposal that would extend subsidies to help consumers pay for coverage under the Affordable Care Act for two more years, as millions of Americans face spiking health care costs when the current tax credits are set to expire at the end of the year.
The draft plan suggests that President Donald Trump is open to extending a provision of Obamacare as his administration and congressional Republicans search for a broader policy solution to a fight that has long flummoxed the party.
The White House stresses that no plan is final until Trump announces it. The subsidies were at the heart of the Democrats’ demands in the government shutdown fight that ended earlier this month.
Most Democratic lawmakers had insisted on a straight extension of the tax credits, which expire at the end of the year, as a condition of keeping the government open.
Eligibility for the Obamacare subsidies, which were implemented during the COVID-19 pandemic to help people afford health care coverage, would be capped at 700% of the federal poverty level, according to two people with knowledge of the proposal.
The people spoke to The Associated Press on condition of anonymity to discuss a White House proposal that is in draft form
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