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Trump's Tax Plan: 93 Million Americans Could See Relief


Trump's Tax Plan: 93 Million Americans Could See Relief

1. How many Americans could be exempt from income taxes under Trump's plan?

Around 93.2 million Americans.


2. What tax exemptions has Trump proposed?

Exemptions on tips, Social Security benefits, and possibly for firefighters, police, military personnel, and veterans.


3. How does Trump plan to replace the lost tax revenue?

He plans to replace it with revenue from tariffs.


4. Do experts agree that tariffs will cover the lost revenue?

No, experts say tariffs won’t offset the tax losses.


5. What is the main impact of tariffs on consumers?

Tariffs raise costs for consumers, especially low-income households.


6. How many Americans receive Social Security benefits?

Around 68 million.


7. How many Americans work in tipped jobs?

Around 4 million.


8. What is the overall impact of Trump's tax plan on federal tax revenue?

An estimated $3 trillion reduction from 2025 to 2034.


9. Can Trump's tax plan pass without a Republican majority in the House of Representatives?

No, it would need a Republican majority in the House to pass.


If tips are paid in cash and not reported, they are already technically exempt from taxation, although it's illegal not to report them. Under U.S. tax law, all tips, whether paid in cash or through credit cards, are considered taxable income and should be reported to the IRS. What Trump is proposing is a legal exemption for tips from being subject to income tax, even if reported. This would formalize the exemption and apply to all tip income, making it tax-free by law.

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