Trump Turns Attention to Tax Cuts: A Closer Look
2025 Tax Year: Current Insights on Filed Returns
In a switch-up of priorities, President Donald Trump is focusing on pushing through tax cuts, with recent data suggesting changes could be on the horizon.
Take a peek at the latest from the Internal Revenue Service (IRS), revealing that the average tax refund for taxpayers has witnessed a noteworthy climb compared to last year. IRS data up to the week ending on April 25 reveals the average tax refund amount swelling by 3.3%, from $2,852 to $2,945. Although the total refunded amount rose at a comparatively slower pace by 2%, jumping from $260 billion to $265 billion, it's important to note that fewer refunds have been dispensed this year. The total number of refunds issued by the IRS has seen a decrease of 1.3%, falling from 91.3 million to 90.2 million.
Here's a fun fact: direct deposit was the go-to payment method for the vast majority of refunds issued, with a whopping 84.8 million of the 90.2 million refunds sent directly into taxpayers' accounts. Despite the increase in direct deposit refunds, the total amount refunded via direct deposit has only risen by a modest 2.8%, reaching $256 billion, while the average direct deposit amount followed suit with a similar increase of 2.7%, climbing to $3,023.
Now, some intriguing news: over 20,000 IRS staff members are pondering some buyout offers. If you're curious about those tax returns, the IRS revealed a 0.9% rise in the number of returns received from last year, surpassing 142.5 million. The number of returns processed by the IRS also saw an increase of 1.4%, ascending beyond 140.2 million.
So, how's the IRS doing? Well, IRS data shared with FOX Business last week indicated that the total number of returns processed has risen by 1.5%, while total tax receipts are up 5% from last year. What does this mean for you? Deput Acting IRS Commissioner Michael Faulkender told FOX Business that the Treasury is making things more efficient than ever. As he put it, "We are making Treasury efficient again. This isn't just words on paper. The data backs the great work that we're doing to ensure that the IRS works for the American people, not against them."
Finally, the big question on everyone's minds: what's next for Trump's tax agenda? Faulkender shared that the plan is to see the Trump tax agenda through to the end, with the help of the Senate and House Republicans. "Our next goal will be to usher President Trump's tax agenda across the finish line with the unified help of both House and Senate Republicans so we can continue to put more money back into the pockets of hardworking Americans." So, buckle up and stay tuned!
- The Internal Revenue Service (IRS) data suggests a 3.3% increase in the average tax refund amount, climbing from $2,852 to $2,945 in 2024.
- Despite the increase in direct deposit refunds, the total amount refunded via direct deposit has only risen by a modest 2.8%, reaching $256 billion.
- Over 20,000 IRS staff members are considering buyout offers, and the IRS has processed 1.5% more returns compared to last year, totaling 142.5 million.
- IRS data shows a 5% increase in total tax receipts from the previous year, and the Treasury is working towards improving efficiency.
- The Trump administration's tax agenda aims to continue putting more money back into the pockets of hardworking Americans with the help of Senate and House Republicans.
- The IRS is making strides in ensuring the agency works for the American people, not against them, as stated by Deput Acting IRS Commissioner Michael Faulkender.
