President Trump is actively selling this year as “the largest tax refund season in U.S. history.” The White House is confident that the average refund could increase by about $1,000 thanks to the tax cuts passed in the administration’s signature legislation last summer. Trump is betting that the refunds will give the economy and the GOP a huge boost ahead of the November elections.
This big lump sum isn’t an accident. The White House learned a huge lesson from the 2017 tax cuts. The IRS adjusted withholding tables, which meant voters only saw a small bump in each paycheck. Officials realized those benefits registered too late and were too small to sway voters before the 2018 midterms, where the GOP lost 41 seats. This time, they’ve played the long game, choosing a lump sum over a gradual distribution, to help Americans feel the growth.
