Share and Follow
On Wednesday, House Republican Conference Chairwoman Lisa McClain seized the occasion of Tax Day to host a roundtable discussion with a diverse group including lawmakers, small business owners, workers, manufacturers, and tax experts. The focus was to highlight the positive impacts of the Working Families Tax Cuts, which were enacted last year. These cuts have reportedly led to increased tax refunds, reduced taxation on tips and overtime pay, and provided crucial relief for small businesses during the latest tax season.
Held in conjunction with Rep. Rob Wittman of Virginia and Rep. Steve Womack of Arkansas, the event came against a backdrop of Democrats using Tax Day to advocate for higher taxes on affluent Americans. In contrast, McClain emphasized how the tax law supports everyday Americans, citing her visits to seven districts where she engaged with local manufacturers and business owners to discuss the legislation’s benefits.
During the roundtable, McClain underlined several key aspects of the Working Families Tax Cuts, such as the elimination of taxes on tips and overtime pay, an expanded child tax credit, and relief for small businesses via Section 199A. Additional features included bonus depreciation and incentives for research and development, all contributing to what Republicans describe as “bigger paychecks” for workers.
“The past few years have felt like a squeeze for many families,” McClain remarked. “You worked more, but your money did less.” She stated that the tax cuts were championed by Republicans who understood these struggles. Wittman hailed the law as “historic relief” benefitting a wide range of Americans, from seniors to small business owners, while Womack expressed pride in the fact that workers in his district were retaining more of their income thanks to the no tax on tips policy, stressing the significance of every saved dollar.
George Agurkis, vice president of government relations at H&R Block, shared that IRS data reveals a roughly 11 percent increase in refunds this year, with over four million taxpayers benefiting from the no tax on tips provision. He recounted a case from Southern California where a single mother working at a bowling alley, who typically owed taxes each year, received a refund this time by claiming the no tax on tips benefit. This example underscores the tangible impact of the tax law on working families.
Simmons, a full-time DoorDash driver who delivered McDonald’s to President Trump at the White House earlier this week, said many Dashers had benefited from the no tax on tips provision, adding, “They’re getting more money back into their homes.”
Stacey Tyree, a Great Clips employee, said that after years of ending up owing taxes, she received a refund this year because of the No Tax on Tips provision, which allowed her to enroll her husband as a dependent on her health insurance “for the first time in his entire adult life.”
Amber Benamati and Ron Benamati, who both work at Metallus, where their son Jacob Lacey is also employed, said the Working Families Tax Cuts changed how their family views overtime work. Amber Benamati said, “It’s been great for our family—it’s changed a lot of things. We actually got a tax return back this year, which is nice. And I like to work overtime now.” Ron Benamati added, “It’s nice being able to keep the money in our pocket where it belongs.”
Kaylee McGhee White said her family benefited from the expanded child tax credit, which would “help us rebuild from the inflation and damage the Biden Administration wrought on our economy.”
Paola Hinton, owner of Five Senses Spa, Salon, and Barbershop, said, “I can’t believe I’m about to say this, but I can’t wait for Tax Day. This year, it’s different for small business owners and working Americans.” She said that over the past few weeks she had heard from salon owners across the country, including a woman in California who received more than $38,000 in tax credits from two locations, Brandon in Texas who was using his savings to fund 401(k)s for employees, and Brian in Georgia who was able to maintain health insurance for his team. Hinton added, “The impact is very, very real.”
Elizabeth Gartner, who said she and her husband own 12 Great Clips salons in Northeast Tennessee, Southwest Virginia, and Eastern Kentucky, said they had collected more than $1 million in tips by September of last year and saved $76,000 when they filed their taxes this year because they were no longer paying taxes on money that never reached their topline revenue. She said the savings was used to improve employee benefit packages.
Sarah White, managing partner of Westover Taco, which she described as a small restaurant in Arlington, said her restaurant and employees saw larger refunds this year, saying, Just having the opportunity to see our tax returns this year—to see our staff light up when they see their tax refunds this year—has just been amazing.
Mike Twining, vice president of sales and marketing for Willard Agri-Service, said provisions in the One Big Beautiful Bill and the Working Families Tax Cuts, particularly expensing and investment incentives, lowered the upfront cost of durable machinery, production facilities, and other necessary equipment for his business and its agricultural customers.
Buddy Henley, president of Henley Construction, said, “Small family-owned businesses like mine need tax policy they can count on,” adding that the provision making small business deductions permanent gave companies like his greater certainty to reinvest in equipment, materials, and workers without concern about future tax increases.
Sarah Wellman of Ryder System said the allowance of EBITA and 100 percent bonus depreciation “couldn’t have come at a more pivotal time” as the trucking industry “has been navigating a multi-year freight downturn,” adding that the provisions “help drive long-term capital investments” and spur “the investment and deployment of newer equipment with safety and efficiency benefits.”
Matt Frostic, vice president of the National Corn Growers Association and a fifth-generation farmer, said making the tax cuts permanent in agriculture would allow farms to make long-term decisions and manage risk more effectively. He said, “To be able to know that we have a way of investing and a way of leveling our tax consequences from year to year brings that longevity and a sense of permanence to our farms.”