Cape News

As Vice President Kamala Harris continues to advocate for tax increases, concerns are growing among American families, workers, farmers, and small businesses about the potential expiration of the Trump Tax Cuts. Ways and Means Chairman Jason Smith (MO-08) has released fact sheets detailing the potential impact of these changes.

Chairman Smith stated: “Families, small businesses, and farmers during more than 120 Tax Teams events in 20 states have made clear that they cannot afford a tax increase next year, which is what they’ll get if the Biden-Harris Administration carries out their agenda. Congressional Republicans are preparing to instead build on the success of the Trump Tax Cuts to not only prevent the Democrats’ planned $7 trillion tax increase but also deliver real relief to workers, families, and businesses.”

The fact sheets reveal that if the Trump Tax Cuts expire on December 31, 2025, approximately 207 million taxpayers could be affected. The average taxpayer might face a 22 percent increase in taxes. A family of four with a median income could see an increase of $1,695 in their taxes.

The data also highlights specific impacts such as a reduction by half in the Child Tax Credit for 40 million families and significant increases in tax rates for small businesses if certain deductions expire. Additionally, family-owned farms could see their Death Tax Exemption cut by half.

These developments have been discussed at numerous events across various states where participants expressed concerns about potential financial burdens if current tax cuts are allowed to lapse.