On January 1, 2026, the largest tax hike in history was set to hit millions of Americans.
The 2017 tax cuts were expiring, and the standard deduction — the part of your income that’s protected from federal taxes — would have been cut nearly in half.
If Congress didn’t act, more than 6 in 10 Americans would have seen their taxes go up, and the average American family would pay over $1,500 more in taxes.
Fortunately, this didn’t happen. Congress passed the Working Families Tax Cuts, making the 2017 cuts permanent and increasing the standard deduction.
But make no mistake: This was close.
The U.S. Senate passed the bill by a single vote.
In the House, it passed 218–214. Four votes were all that stood between tax relief and the largest tax hike in our history.
This bill is a big win for all Americans. Behind every one of those dollars is a family, a community, and a representative who showed up.
Here’s what that looks like across the country.
Lower taxes, real impact: A win across America
Arizona
In Arizona, the average taxpayer is saving $2,732 this year thanks to the Working Families Tax Cuts. For families living in places like Tucson, this extra cash means a month of rent or groceries.
That’s relief made possible in part by lawmakers like U.S. Rep. Juan Ciscomani, who voted for the bill.
California
California’s Central Valley is one of the most fertile and productive regions in the world, thanks to the soil and the hard work of thousands of farmworkers, small business owners, and working families.
Thanks to the Working Families Tax Cuts, the people of California will save $3,630 a year, and lawmakers like Rep. David Valadao made that possible by voting to make the tax cuts permanent.
Colorado
U.S. Reps. Jeff Hurd of Colorado’s 3rd District and Gabe Evans of the 8th District both showed up for their constituents and voted for the Working Families Tax Cuts and against a tax hike.
Thanks to lawmakers like them, the average Colorado family, from the ranches of western Colorado to the suburbs north of Denver, will keep $3,661 more this year.
Iowa
The people of eastern Iowa know very well that being a farmer or a small business owner is a tough gig, one that doesn’t give you a lot of room for a surprise tax bill.
Thanks to people like U.S. Rep. Mariannette Miller-Meeks, the average Iowa taxpayer is saving $1,981 this year.
Michigan
In Michigan, the average taxpayer would have owed $2,054 more had the tax cuts expired.
Thanks to the vote of lawmakers like Rep. Tom Barrett, people in industrial Mid Michigan are keeping more money in their pockets.
Pennsylvania
South-central Pennsylvania is a mix of small towns, working families, and small businesses operating on tight margins.
Thanks to the vote of lawmakers like U.S. Rep. Scott Perry, the average Pennsylvania taxpayer is keeping $2,394 more this year.
Texas
The Working Families Tax Cuts saved the average Texan $2,870 this year.
And in the Rio Grande Valley, one of America’s most economically dynamic and culturally vibrant regions, this money will be a lifesaver for thousands of hardworking families.
And that relief is possible thanks to lawmakers like Rep. Monica De La Cruz, who stood with their constituents and voted against the tax hike.
Virginia
From the Northern Neck to the rural countryside and the suburbs near the nation’s capital, Virginia is home to military families, contractors, and working households who can’t afford a hefty tax hike.
And this year, the average Virginia taxpayer is keeping $2,641 more, thanks to the Working Families Tax Cuts, which was passed with the vote of lawmakers like Rep. Rob Wittman.
The road ahead
The Working Families Tax Cuts are a big win for Americans from all 50 states.
It locked in the 2017 tax rates and increased the standard deduction, saving the average taxpayer $3,750 this year.
But wins like these shouldn’t be taken for granted.
Four votes — that’s the margin between a tax cut and a tax hike.
And the representatives who stood with their constituents deserve our thanks.
Americans for Prosperity will keep making sure Washington feels the pressure from the people who sent them there.
Want to keep fighting for policies that put money back in your pocket? Join AFP today.
