#TrumpTaxCuts Trump’s Tax Cuts: What You Should Know

The Trump Tax Cuts, officially called the Tax Cuts and Jobs Act (TCJA) of 2017, were one of the biggest overhauls of the U.S. tax system in decades.

Key highlights:

Corporate Tax Rate: Cut from 35% to 21% — making U.S. businesses more competitive globally.

Individual Tax Rates: Lowered across most income brackets, with increased standard deductions.

Child Tax Credit: Doubled from $1,000 to $2,000 per child.

Business Investment: Companies could immediately deduct 100% of the cost of certain investments.

Pass-Through Entities: Small businesses got a 20% deduction on qualified income.

Cap on Deductions: State and local tax (SALT) deductions were capped at $10,000.

Sunset Clause: Most individual tax cuts are set to expire after 2025, while corporate cuts are permanent.

Impact:

Boosted short-term economic growth and stock markets.

Increased federal deficit by about $1.5 trillion over 10 years, according to the Congressional Budget Office (CBO).

Helped corporations and wealthier individuals more than middle and lower classes, according to many analysts.

Sparked debate: Was it a catalyst for jobs and growth — or a boost for the wealthy at the cost of national debt?

2025 Alert:

Parts of the TCJA affecting individuals will expire at the end of 2025 — leading to potential tax increases unless renewed.