The Trump tax cuts: 3 things you should know

Runaway inflation has led to a cost-of-living crisis that’s devastated American families.

Over the last four years, it’s cost Americans an average of $12,000 every year. Thankfully, there’s one policy that has helped us by keeping thousands of dollars in our pockets:

The Trump tax cuts, formally known as the Tax Cuts and Jobs Acts of 2017.

But what you might now know is that these tax cuts are set to expire in 2025, which would cost $1,500 a year for the average family of four if Congress fails to act.

As we enter 2025, Americans need every single penny they can get to recover from economic chaos.

Here are three things you should know about the Trump tax cuts — and why Congress should extend them:

Kept thousands of dollars in your pocket

The TCJA cut taxes for most Americans by doing two main things:

• Reducing tax rates for all: The 2017 tax cuts slashed taxes across all income levels. Thanks to these cuts, low- and middle-income Americans saved hundreds or thousands of dollars every year, money that’s been critical to survive inflation.
  
  For example, the average American worker earned around $59,500 in 2024. Thanks to the Trump tax cut, they’ll save $1,217 this year in taxes if they have no dependents.
  
  
• Simplifying the tax code: By almost doubling the standard deduction, the Trump tax cuts made it much easier for millions of Americans to file taxes without going through the complicated process of itemizing each deduction.
  
  Before the tax cuts were passed, nearly 1 in every 3 Americans itemized their deductions.
  
  Today, that number has dropped to fewer than 1 in 10.

If it weren’t for the Trump tax cuts, you’d be on the hook for thousands of dollars more in taxes to out-of-touch Washington politicians just as we were dealing with the 20% inflation of the Biden years.

The fact is that the Trump tax cuts were critical in building one of the most prosperous economies in American history.

Fueled historic economic growth

Five million.

That’s how many jobs the American economy added in the first 28 months after the Trump tax cuts were passed.

And that’s not the only stat showing the Trump tax cuts were a clear boon for all Americans:

• The median American household earned over $7,000 more in the first two years after taxes were slashed.
  
• American unemployment rates went to historic lows, with Latinos and African Americans enjoying the lowest unemployment rates in history.
  
• Investments nearly doubled between 2015 and 2016, from 2.4% to 4.8%.

There’s a massive tax hike looming.

Six in every 10 Americans will suddenly pay a massive tax hike if Congress doesn’t act.

How much? An average family of four will pay $1,500 more per year.

Odds are, you are one of the millions of Americans who’ll pay hundreds or thousands of dollars more to Washington.

This isn’t the time for a massive tax hike that’ll hurt people like you, hardworking Americans, the most.

Congress ought to protect the American people, not squeeze trillions of our hard-earned dollars to finance a rigged system that benefits special interests and loses hundreds of billions of dollars to rampant fraud.

Americans need and deserve to keep their hard-earned money — that’s why Congress must vote to extend the Trump tax cuts.

If you want to learn more about how to join Americans for Prosperity in the fight to keep government out of your pocket, learn how to get involved here.