Child Tax Credit Expansion: The Tax Relief for American Families and Workers Act has increased the Child Tax Credit, providing greater financial support to families.
Corporate Tax Breaks Restoration: The same legislation reinstates certain corporate tax benefits, potentially stimulating economic growth and indirectly benefiting workers.
Affordable Housing Initiatives: An increase in the federal Low-Income Housing Tax Credit aims to support the development of affordable housing, benefiting low- to moderate-income families.
Inflation Adjustments: The IRS has released tax inflation adjustments for tax year 2025, which may result in lower taxable income for many taxpayers.
State-Level Tax Relief: States like Virginia are proposing budget amendments that include tax rebates and adjustments to the earned income tax credit, providing additional relief to residents.
Proposed Tax Cuts for Middle-Class: Discussions are underway to eliminate certain tax perks for the wealthy to fund substantial tax cuts for the middle class, including eliminating taxes on tips, overtime, and Social Security benefits.
Closing Tax Loopholes: Efforts are being made to close the carried interest tax loophole, which could lead to a fairer tax system and potential savings for middle-income earners.