Arizona Center for Economic Progress: Extending the 2017 Tax Cuts and Jobs Act Will Further Solidify An Unequal Federal Income Tax Structure for Generations
ITEP Work in ActionA new report from the Institute on Taxation and Economic Policy (ITEP) predicts that making permanent the temporary provisions of the 2017 Tax Cuts and Jobs Act (TCJA) will cost nearly $290 billion in 2026. H.R. 976, the TCJA Permanency Act, would permanently enshrine the portions of the TCJA that were set to expire in 2025. In Arizona, the top one percent of earners would expect to receive nearly $42,000 in tax breaks in 2026 as a result of the tax breaks in H.R. 976 and the original TCJA, while the bottom 20 percent of Arizona wage earners would pay an additional $10 in taxes. Nationwide, the top one percent can expect to receive nearly $38,000 in tax breaks on average in 2026 while the bottom 20 percent will pay $110 in new taxes.