OBBBA Tax Relief Boosts Refunds; Covid Penalty Refunds, Corporate R&D Gifts, Crypto Fixes, SS Deficits
Key Questions
How have tax refunds changed due to OBBBA?
Average refunds are $3,462, up 11-17%, boosted by OBBBA perks like CTC $2,200, SALT $40k, standard deduction $31.5k, senior $6k, tips/OT/car loans. More Americans received refunds this Tax Day.
What relief is available for Covid-era tax penalties?
Covid-era penalties from 2019-2022 will be wiped via Kwong refunds by July 2026. Millions of unclaimed tax relief cards are expiring soon.
How is the Trump administration handling corporate R&D credits?
Trump's CAMT gifts Meta/Qualcomm $13.7B R&D credits; Working Families R&D offers 20% for small biz. This spurs investment per Senate Finance.
What crypto tax fixes are being proposed?
Crypto cap gains bills aim to fix the broken framework, as discussed by Cato Institute. Congress is addressing taxing issues.
Why is Social Security facing deficits?
SS runs $250B deficits, nearing 6-year insolvency. Brookings confirms budget deficits are possible, amid proposals with catches.
What state tax changes are occurring?
States like HI pause high-earner taxes, CA relief expires; some add exit taxes on homeowners, others cut property taxes. SCOTUS considers tax shields.
What IRS changes are coming in 2026?
IRS hikes for 2026, 8 rule changes affect all; FY27 cuts $10.2B, TCJA extensions amid $4.4T deficits. Trump pursues import taxes.
How do government benefits impact housing costs?
Benefits reduce housing burdens per Joint Center studies. TCJA and OBBBA boost refunds, but traps like $400k refunds ensnare 86M.
Refunds avg $3,462 (+11-17%) OBBBA perks (CTC $2200/SALT $40k/std $31.5k/seniors $6k/tips/OT/car); Covid-era Kwong refunds by Jul 2026 wipe 2019-2022 penalties; Trump CAMT gifts Meta/Qualcomm $13.7B R&D; Working Families R&D/small biz 20%; crypto cap gains bills; states property cuts vs exit taxes; HI pauses high-earner; CA relief expires; 2026 IRS hikes; RMDs/SS $250B deficit (~6yr insolvency); SCOTUS tax shields; Trump import taxes; FY27 $10.2B IRS cuts/TCJA; $4.4T deficits.