Tax Day: Millions of filers take advantage of new Trump tax exemptions ahead of deadline, Treasury says
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WASHINGTON — As Wednesday marks Tax Day, the final date for the majority of Americans to submit their tax returns, the Trump administration highlights that millions have already taken advantage of new provisions. These include exemptions from taxes on tips and overtime, exclusions for interest on specific car loans, deductions available for certain seniors, and the introduction of Trump Accounts aimed at children’s savings.

A Treasury representative revealed that over 53 million taxpayers utilized deductions from the expansive tax and spending legislation introduced by Republicans. This includes 6 million individuals benefiting from the exemption on tips, 21 million claiming the overtime deduction, and 30 million seniors using the enhanced deduction.

Speaking anonymously to offer insights before the deadline, the official stated that the 2026 tax filing period was deemed successful by the administration.

RELATED: Expert warns of common mistakes made during tax season

Despite these changes, a significant portion of the population, approximately 70%, still feels that their tax burdens are excessive, according to recent surveys. This sentiment persists even after the introduction of the Republican tax law, which was intended to deliver substantial savings to taxpayers.

At the start of the tax season in January, the White House anticipated that average refunds would increase by at least $1,000. However, according to the latest figures from the IRS, the average refund now stands at $3,462, reflecting an 11% increase or approximately $350 more than last year’s average refund of $3,116.

Treasury has shifted its messaging to tout that tax refunds this season are up 24% compared with the four-year average of refunds before President Donald Trump took office.

The White House has been trying to promote Trump’s tax cuts as a way to get voters more enthusiastic about the way he’s handling the economy ahead of November’s midterm elections, but the message has been overshadowed for weeks by higher gas prices caused by the war in Iran.

Don’t miss out on these Tax Day deals!

The 2026 season comes as the IRS has gone through a leadership turnover and reduced its workforce by 27% over the past year through cuts brought on by the Department of Government Efficiency.

IRS CEO Frank Bisignano is set to testify in front of the Senate Finance Committee on Wednesday.

In his public testimony to lawmakers, Bisignano planned to tout the IRS’ implementation of the Republican tax law.

However, Democratic lawmakers zeroed in on IRS disclosures of confidential taxpayer information to Immigration and Customs Enforcement as part of an agreement between ICE and the Department of Homeland Security to share information for the purpose of identifying and deporting people illegally in the U.S.

Copyright © 2026 by The Associated Press. All Rights Reserved.

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