In July, we passed the largest tax cuts in American history, including no tax on tips, no tax on overtime, no tax on Social Security for our great seniors. President Trump made a lot of proclamations about tax policy in his campaign and now throughout his administration. And it's very important for taxpayers to check what the president has said.What the tax breaks do is reduce your taxable income, and perhaps you will pay less tax, but it's not an outright elimination of tax for any of those things. Most of ...

In July, we passed the largest tax cuts in American history, including no tax on tips, no tax on overtime, no tax on social security for our great seniors. >> President Trump made a lot of proclamations about tax policy in his campaign and now throughout his administration. And it's very important for taxpayers to check what the president has said.What the tax breaks do is reduce your taxable income and perhaps you will pay less tax, but it's not an outright elimination of tax for any of those things. >> Mo ...

🚨BREAKING: U S TREASURY DEPARTMENT ANNOUNCES EXPANDED TAX BENEFITS FOR 2026 FILING SEASON@Ustreasury touts "Working Families Tax Cuts" package as tax season opens, claiming "biggest refunds in American history."Key provisions listed:-No tax on tips-No tax on overtime pay-No tax on Social Security benefits-No tax on auto loans for American-made vehicles-Enhanced child tax credit-Doubled standard deduction-$1,000 "Trump Account" for children ...

Your 2025 tax return could look different this year thanks to several tax law changes. Before you file this season, don't miss these new deductions, which could make your refund bigger. First up, there's no tax on qualified tips up to $25,000.According to the IRS, more than 6 million workers report tipped wages. And if you're working extra shifts, your first $12,500 in overtime is now tax-free for certain workers. Buy a car last year, you can now deduct up to $10,000 in auto loan interest.Eligible vehicles ...

Core Insights - The IRS anticipates that 164 million individuals will file tax returns by April 15, with an average refund projected to be $1,000 higher than last year's average of $3,167 due to changes in tax law [1] Group 1: Tax Filing and Refunds - The IRS processed over 165 million individual income tax returns last year, with 94% submitted electronically [1] - Taxpayers filing electronically can expect to receive their refunds in 21 days or less, while paper returns may take four weeks or more [3] - The IRS advises against relying on receiving refunds by specific dates, especially for major purchases or bill payments [4] Group 2: IRS Workforce and Challenges - The IRS has experienced a significant reduction in workforce, starting 2025 with approximately 102,000 employees and ending with around 74,000 due to firings and layoffs [3] - The national taxpayer advocate has warned that the 2026 tax filing season may present challenges for taxpayers encountering issues, attributed to the exodus of IRS workers since the Trump administration [2] Group 3: Refund Status and Tools - Taxpayers can check the status of their refunds using the online tool "Where's My Refund?" within 24 hours of e-filing or generally within four weeks of filing a paper return [4] - The IRS2Go app and IRS Individual Online Account are additional resources for checking refund status [5] - To qualify for a refund, taxpayers must file a return, and they have three years to claim a tax refund [5]

Tax Policy Changes - The child tax credit received a $200 boost to the maximum amount for the 2025 tax year [2] - Individuals with tipped income can deduct that on their tax return, effective for 2025 [3] - A new $6,000 deduction per senior is available, subject to income thresholds [5][6] Impact of Tariffs - In 2025, tariffs amount to an estimated $1,100 burden per US household on average [7][8] - If tariffs remain in effect, the burden is projected to grow to about $1,400 per household next year [8] - Customs duties on Christmas lights alone have risen to $45 million this year [9] - Tariffs on holiday items have climbed to upwards of $500 million through the first 9 months of 2025 [11] - Toys and board games are subject to tariffs, increasing their cost [13][15] Offsetting Factors - Tax cuts passed by Congress last year will result in larger refunds [16] - The Treasury Department will adjust withholding tables for lower taxes from each paycheck [16] - Tax cuts in aggregate have a larger revenue impact than the tariff hikes [17]

What do you need to know about tax planning in 2026? On this episode of Money Unscripted, learn about the new SALT cap increase, why you might want to consider itemizing over taking the standard deduction, a boosted child tax credit, and other opportunities to save on your taxes. Join host Ally Donnelly and Ajay Sarkaria, Fidelity Regional Vice President of Private Wealth Management, as they walk through the tax strategies that could help you keep more of what you earn. Watch now. 00:00 Welcome to Money Uns ...

Group 1 - The OAS pension provides monthly payments for recipients aged 65 to 74 with annual incomes below $148,451, allowing up to $707.67, while those aged 75 and older with incomes below $154,196 may receive up to $880.44 [1][18] - The OAS pension undergoes quarterly reviews in January, April, July, and October to adjust for cost-of-living increases based on the Consumer Price Index, with benefits not decreasing if the cost of living declines [2][18] - The Canada Workers Benefit (ACWB) serves as a refundable tax credit for low-income working individuals and families, with maximum basic benefits of $1,428 for singles and $2,461 for families, and specific income thresholds for eligibility [13][14][18] Group 2 - The Ontario Child Benefit provides up to $1,607 annually per child based on family net income and the number of children under 18 [7][18] - The Ontario Trillium Benefit combines various credits into monthly distributions to assist low-income residents [8][18] - The veteran disability pension offers tax-free monthly payments to veterans and service members with service-related injuries or illnesses, with specific eligibility criteria [9][12][18] Group 3 - Part-time students aged 18 to 24 with deceased or disabled parents who contributed to the Canada Pension Plan will receive monthly payments of $150.89 starting in 2025, while full-time students will receive $301.77 [15][18] - Low-income seniors aged 65 and older or individuals with disabilities can apply for annual property tax rebates if they meet specific criteria, including receiving GIS or ODSP benefits [16][17][18]

Child Poverty Reduction - States implementing refundable child tax credit programs post-pandemic saw lower child poverty rates compared to states without such programs [1]

Tax Bill Overview - The House is expected to vote on President Trump's tax bill, likely resembling the Senate version [1][2] - Democrats argue the bill disproportionately benefits higher-income households [6] Income Group Impact - The bottom 20% could see a decrease in after-tax income of approximately $560 per year, equivalent to a 23% decline [3] - The middle 20% might experience a slight increase of about $760 annually, representing a 15% rise in after-tax income [3] - The top 20% could receive a tax cut of around $6000, approximately a 23% increase [4] - The top 1% may see a tax cut of about 21%, with benefits potentially declining at the very top due to income thresholds [4] Key Provisions & Costs - Extending the standard deduction is estimated to cost $14 trillion [5] - The child tax credit is valued at $800 billion [5] - Limiting taxes on tips and overtime amounts to over $120 billion [5] - Extending lower marginal tax rates is the most expensive component, exceeding $1 trillion [5] Beneficiaries - Approximately 80% of the benefits from the Senate bill are projected to go to the top 10% of earners [2][6] - The top 10% contribute 70% of the taxes [6] - The working and middle classes are expected to benefit from provisions like the standard deduction and child tax credit [7] Business Impact - Immediate expensing of R&D and capital investment is considered the most economically significant aspect for businesses [7]