Most Americans have paid lower income taxes since 2018 — and trillions in tax breaks will sunset next year without action from Congress.
Enacted by former President Donald Trump, the Tax Cuts and Jobs Act of 2017, or TCJA, temporarily changed several key provisions for individual taxpayers. A battle over these expirations is looming amid the federal budget deficit.
“It’s enormous,” said Howard Gleckman, senior fellow at the Urban-Brookings Tax Policy Center. “Pretty much the entire individual income tax code is on the table at the end of 2025.”
President Joe Biden and Trump, who are both campaigning for the presidency, have voiced similar positions on extending middle-class TCJA provisions. But it’s tough to predict the future of these tax breaks with control of the White House and Congress uncertain.