The White House is celebrating a major win for American taxpayers as a new analysis projects sweeping tax relief under President Donald J. Trump’s landmark One Big Beautiful Bill Act (OBBBA).

According to the nonpartisan Tax Foundation study, the average American will see a $3,752 tax cut in 2026, with taxpayers in every state benefitting — though some regions will see bigger gains than others. The analysis also estimates nearly one million new full-time jobs will be created in the long run.

“President Trump’s One Big Beautiful Bill is the largest, most consequential tax cut on the middle class ever,” said White House Deputy Press Secretary Anna Kelly on Friday. “Between lower inflation, massive investments, and historic tax cuts, all Americans are reaping the benefits of the Trump Economy – and the Golden Age has just begun.”

Republicans’ multitrillion-dollar OBBBA locks in many of the most popular provisions from the 2017 Tax Cuts and Jobs Act, including:

• Permanently reduced tax rates across the board
• The $15,000 standard deduction
• The $2,000 Child Tax Credit
• The 20% deduction for small business income
• The $750,000 cap on home mortgage interest deductions

The law also makes permanent three key business incentives: 100% reimbursement for new equipment purchases, expanded deductions for corporate interest on debt, and immediate write-offs for research expenses.

Temporary provisions running through 2030 include:

• A quadrupled SALT deduction cap ($40,000)
• A new $6,000 deduction for seniors
• Tax breaks for tips and overtime pay (capped at $25,000 for single filers and $12,500 for married filers)

The Tax Foundation estimates that while cuts will average $3,752 in 2026, they will briefly dip in 2030 before rising again, reflecting inflation adjustments.

Wyoming, Washington, and Massachusetts will enjoy the highest average tax relief (around $5,100), while West Virginia and Mississippi see the lowest (about $2,400). Affluent resort towns are expected to benefit most, while rural regions will see smaller cuts.

Commerce Secretary Howard Lutnick revealed last week that President Trump is considering a historic overhaul of the tax system — potentially eliminating federal income taxes for the vast majority of Americans.

“I’m in the car with him, and I said we’re going to balance the budget,” Lutnick recalled on the All In podcast. “And I said, ‘But I have one favor to ask you: If we can balance the budget for you, will you agree to waive all income tax for every person who makes less than $150k a year in the United States of America?’”

According to Lutnick, Trump immediately agreed: “He looks at me, he goes, ‘Sure.’ He’s not lying; he’s not kidding. He’s like, ‘Yeah.’” That move would wipe out income tax obligations for roughly 85% of Americans.

The United States did not impose an income tax until 1913, instead funding government largely through tariffs. President Trump has repeatedly expressed his desire to restore a tariff-based system to replace today’s bloated IRS structure.

“America is going to be very rich again, and it’s going to happen very quickly,” Trump told Republicans at his Florida resort. “It’s time for the United States to return to the system that made us richer and more powerful than ever before.”

Predictably, budget hawks in Washington warn about projected deficits. The Congressional Budget Office claims the bill will add $4.1 trillion to the national debt over the next decade. Conservatives, however, argue that robust growth and smarter spending cuts can offset the loss — and that giving working Americans more freedom over their earnings is worth the tradeoff.

For everyday taxpayers, the choice is simple: under President Trump’s America First agenda, more money stays in their pockets, not in Washington’s hands.