#TrumpTaxCuts
The Tax Cuts and Jobs Act (TCJA), which was signed into law by President Donald Trump in December 2017.
Main Points:
Cut the corporate tax rate from 35% to 21% permanently.
Lowered individual income tax rates (but temporarily — most individual cuts are scheduled to expire after 2025).
Increased the standard deduction and child tax credit.
Capped deductions for state and local taxes (SALT) at $10,000.
Repealed the individual mandate penalty from the Affordable Care Act.
Impact:
Benefited corporations and wealthier individuals the most in dollar terms.
Boosted short-term economic growth, but also increased the national debt.
Many middle-class Americans saw some tax savings initially, but with the expiration looming, those benefits may reverse.
Current Relevance (2025):
Debates are heating up because most individual tax cuts are set to expire at the end of 2025 unless Congress acts. Discussions around whether to extend, modify, or repeal parts of the TCJA are a big political issue right now.
