“Impact of Proposed U.S. Tax and Spending Cuts on International Students: Financial and Immigration Challenges Ahead”

This is a massive package of tax cuts, spending reductions, and policy changes proposed by House Republicans and supported by former President Donald Trump. It’s aimed at:

• Extending and expanding Trump-era tax cuts
• Slashing spending on social programs (Medicaid, food stamps, etc.)
• Restructuring student loans
• Increasing immigration enforcement and fees
• Reducing climate and clean energy investments

Estimated cost: $3.8 trillion over 10 years
Offset by: $1.5+ trillion in spending cuts

IMPACT ON PAKISTANI STUDENTS IN THE U.S.

1. Student Loans – Access Severely Limited

• What’s happening: The bill proposes ending subsidized loans and Graduate PLUS loans, capping federal aid at the “median cost of college.”
• Impact:
• Most Pakistani students are not eligible for federal loans anyway unless they are green card holders.
• However, if you’re a dual citizen or in the process of getting permanent residency, fewer loan options will be available.

Example: A Pakistani-American planning to attend grad school on a Grad PLUS loan may no longer qualify after 2026.

2. Optional Practical Training (OPT) & Work Permits – More Expensive

• What’s happening: New fees on work permits for immigrants — $550 for initial work authorization.
• Impact:
• Students applying for OPT or STEM OPT extensions after graduation may now have to pay hundreds more, increasing financial burden.
• Pakistani students who need to work after graduation will face new costs.

Example: A Pakistani CS graduate applying for STEM OPT might pay $550 extra under the new bill.

3. Visa Overstay or Status Change – Greater Enforcement Risk

• What’s happening: $45 billion for immigration enforcement and deportation (ICE hiring, detention centers, faster processing).
• Impact:
• Students who accidentally overstay visas, work off-campus without permission, or delay status updates could be deported more quickly.
• ICE would be much more aggressive, especially for non-citizens from Muslim-majority countries like Pakistan.

Example: A student whose F-1 visa expires and stays just a few weeks without an extension may face faster detention/deportation action. 

4. Child Tax Credit – Family Hardship

• What’s happening: Parents without a U.S. Social Security Number (like those on F-1 or J-1 visas) can’t claim the $2,500 per child tax credit.
• Impact:
• Pakistani students with U.S.-born children will no longer get this financial support, making family life harder.
• May discourage students from having children while studying.

5. STEM & Green Jobs – Fewer Opportunities

• What’s happening: Elimination of many clean energy tax credits and cuts to green job programs.
• Impact:
• Pakistani students in STEM, sustainability, engineering, or environmental sciences may find fewer job or internship opportunities post-graduation.
• Makes staying in the U.S. long-term via employment harder.

6. Healthcare Access – Tighter Eligibility

• What’s happening: Stricter Medicaid rules and penalties for states covering undocumented immigrants.
• Impact:
• Students with Temporary Protected Status (TPS), asylum seekers, or even post-docs might lose access to subsidized health care.
• Medical emergencies could become more expensive or uncovered. 

Summary for Pakistani Students

Final Thought:

If you’re a Pakistani student currently in the U.S., or planning to study here, this package could mean:

• Higher costs to study, live, or work after graduation
• Fewer support systems (loans, health care, job programs)
• Tighter immigration rules and increased enforcement pressure