Treasury Analysis Confirms Working Families Tax Cuts Benefit Low- and Middle-Income Americans

The U.S. Department of the Treasury announced today that its analysis confirms President Trump’s Working Families Tax Cuts delivered the largest share of tax relief to millions of low- and middle-income American families and workers during the recent tax filing season. This highlights direct financial benefits for those providing for families, working overtime, living on fixed incomes, and running small businesses.

American families and workers claimed $82 billion in individual relief directly from the Working Families Tax Cuts. This legislation prevented a potential $5 trillion tax hike from the expiration of the 2017 Tax Cuts and Jobs Act, with 97% of filers receiving a tax cut this past season.

Secretary of the Treasury Scott Bessent said, "American families and workers overwhelmingly benefitted from the Working Families Tax Cuts, receiving the largest share of the historic tax relief delivered this past filing season." He added that the analysis confirms President Trump’s tax policies provide substantial cuts and greater financial certainty to low- and middle-income households.

The data shows tax relief was concentrated among American families and workers earning under $200,000, with 96% of filers receiving a tax cut falling into this bracket. Filers earning $100,000 to $200,000 received an average tax cut of over $1,250, while those earning $50,000 to $100,000 saw an average cut of over $815.

Key provisions included "No Tax on Tips" (over 7.5 million filers, average $7,000 deduction), "No Tax on Overtime" (over 29 million filers, average $3,100 deduction), and the Enhanced Senior Deduction (over 35 million seniors, average $7,500 deduction). Nearly 40 million families benefited from the enhanced Child Tax Credit, and over 127 million filers claimed the permanently doubled standard deduction.

Secretary Bessent emphasized that under President Trump, the federal tax code reflects a mandate to reject policies that punish success and embrace those that restore fairness, reward work, respect hard-earned paychecks, and reignite the American Dream.