Trump's Tax Bill Will Hit Poorest Americans The Hardest

Experts estimate that individuals making less than $51,000 will see their after-tax income decrease starting in 2026.

Washington D.C. - Trump’s tax cuts favored billionaires last time, and history is repeating itself. A study done by Penn Wharton found that people earning between $17,000 and $51,000 will see on average a $700 reduction in their income after taxes if the current bill goes through. People making less than $17,000 will have it even worse, with a $1,000 loss on average instead of $700.

These predicted losses are primarily due to the cuts being made across federal agencies, and the benefits many lower-income Americans will see disappear because of them. Penn Wharton’s analysis found that the tax cuts these groups will receive will not outweigh losing their access to programs like healthcare through Medicaid, or nutrition assistance through SNAP. Put simply, the increased cost of medical bills and food will be far higher than the amount of money they’ll receive through tax cuts.

Of course, the top 0.1 percent have nothing to worry about. They’re estimated to gain an average of $389,000 in income after taxes. It’s money they’re going to get by taking health insurance from those who need it the most. Why couldn’t a child in Iowa skip a meal or two if a millionaire could have another beach home as a result?

“These tax cuts are proof, plain and simple, that the Republican Party does not prioritize the average Iowan. First, they decide to take away Medicaid and food assistance. Then, when people lose health care, rural hospitals close and wait times are longer than ever, they put on fake smiles and say: ‘But look, you’re getting a tax cut!’ That tax cut won’t make up for their healthcare costs rising, or the long drives they’ll have to take after their local hospital no longer exists because of Medicaid cuts. We’ve seen this trick before and Republicans think it’s going to work again,” said Iowa Democratic Party Chair Rita Hart.