A new analysis from Senator Elizabeth Warren’s office paints a stark picture of how President Donald Trump’s “Big Beautiful Bill” - a sweeping budget and tax package - is reshaping federal spending priorities. According to the report, the billions in tax breaks given to major tech companies like Alphabet, Amazon, and Microsoft this year alone could have funded essential social programs for millions of Americans.

The findings, quantify how much those corporate tax cuts are costing the public. Under the new law:

• Alphabet (Google’s parent company) is projected to save $17.9 billion in 2025 — enough to pay for SNAP (Supplemental Nutrition Assistance Program) benefits for 7.5 million people, or provide Medicaid for 2.3 million adults or 5.4 million children.
• Amazon is expected to save $15.7 billion, equivalent to 6.6 million Americans’ food assistance or health coverage for 2 million adults.
• Microsoft’s 2026 tax break, estimated at $12.5 billion, could cover Affordable Care Act (ACA) premium reductions for 1.9 million people.

The scale of the tax windfall, Warren’s office argues, highlights a deep tradeoff between corporate incentives and public welfare.

“Donald Trump and Republicans in Congress are knocking millions of Americans off their health insurance and ripping away food assistance from families - all so they can fund giant tax cuts for billionaires and corporations,” Senator Warren said in a statement. “This is a matter of priorities: they’re fighting for their billionaire buddies, while Democrats are fighting for American families.” 

The Numbers Behind the Bill

The Republican-controlled Congress passed the $3.2 trillion “Big Beautiful Bill” in July, framing it as a pro-growth economic package designed to boost innovation and keep U.S. corporations globally competitive.

Among its key provisions:

• A maintained lower corporate tax rate (21%) first introduced in 2017.
• Expanded research and development write-offs, allowing Big Tech to deduct a broader range of software and AI expenses.
• Deferred foreign income taxation, letting U.S.-based multinationals delay paying taxes on certain offshore profits.

At the same time, the bill tightens eligibility and trims funding for major social programs — including SNAP, Medicaid, and the ACA - deepening partisan rifts over fiscal priorities.

To fund SNAP benefits for the 41.7 million people who received them monthly last year, the federal government spent $99.8 billion. Under the new spending rules, Trump’s administration has pledged only $4.65 billion in partial payments to keep the program operational during the ongoing government shutdown.

“The math tells the story,” said Dr. Carla Johnson, a senior analyst at the Center for Budget and Policy Priorities. “The same dollars that could keep millions of families fed are being redirected into corporate tax relief with little public accountability.”

Big Tech’s Defense

Executives across Silicon Valley have defended the bill, saying the tax structure incentivizes domestic innovation and reduces the offshoring of R&D investments.

A spokesperson for Alphabet said the company “complies fully with all tax laws” and “reinvests heavily in AI research, data infrastructure, and jobs that strengthen the U.S. economy.”

Amazon echoed that stance, arguing that the new framework helps companies “compete globally while supporting thousands of high-skill jobs.”

“Tax efficiency doesn’t mean tax evasion,” said one industry lobbyist representing major U.S. tech firms. “These companies are still among the largest contributors to America’s GDP, and this legislation keeps innovation onshore.”

Critics, however, counter that corporate reinvestment rarely offsets the short-term loss in public funding, and that few of these savings directly benefit low-income Americans.

The Political Battle Ahead

Warren’s report comes as Democrats gear up for 2026 midterm elections, framing economic inequality and corporate accountability as core campaign issues.

The senator’s office said it plans to introduce an amendment reversing parts of the Big Beautiful Bill’s corporate provisions, redirecting the revenue toward Medicaid and SNAP restoration.

Meanwhile, the Trump administration has dismissed Warren’s analysis as “political theater,” arguing that the tax incentives are already driving job creation, stock market growth, and capital repatriation.

“Senator Warren is recycling the same failed class warfare rhetoric,” said White House economic adviser Larry Kudlow. “The Big Beautiful Bill is delivering prosperity, not dependency.”

What It Means

The report frames a defining ideological clash in American economic policy - whether tax breaks for billion-dollar corporations fuel growth or widen inequality.

For Big Tech, the issue goes beyond accounting. With AI, cloud infrastructure, and chip design now central to U.S. competitiveness, companies like Google and Amazon are seen as both engines of innovation and symbols of corporate excess.

For millions of Americans reliant on safety-net programs, Warren’s data offers a sobering counterpoint: that the cost of corporate expansion may be measured in meals skipped and care deferred.