Business & Economy

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The Big Story

What Trump’s megabill means for your taxes

With the GOP’s “big, beautiful bill” headed to President Trump’s desk for signature Friday, wealthy Americans are poised to receive significant tax breaks.

Here’s how the bill would impact your taxes.

High-income earners (>$217,000): For taxes filed in 2026, households making between $217,000 and $318,000 would see their after-tax income raise 2.6 percent, a tax break of about $5,400. For Americans making $318,000 to $460,000 — in the 90th to 95th percentile — that cut would be about $8,900, or a 3.1 percent increase to their after-tax income.

Middle-income earners ($50,000-$200,000): The tax breaks for the rest of Americans are far less substantial, according to the center’s estimates. Households making between $100,000 and $200,000 a year would see their after-tax income increase by 2.5 percent, about a $3,000 tax break. For those making between $75,000 and $100,000, the tax cut as a percentage of income is similar — at about $1,700 or 2.3 percent.

Low-income earners (<$50,000): For those making between $40,000 and $50,000, that cut will be about $630. Those are after-tax boosts of 1.9 percent and 1.5 percent, respectively. Those in the bottom quintile of incomes, making below $34,600 a year, would see their taxes decrease by about $150, or a 0.8 percent increase in their after-tax income.

The Hill’s Miriam Waldvogel has more here.

Welcome to The Hill’s Business & Economy newsletter, I’m Aris Folley — covering the intersection of Wall Street and Pennsylvania Avenue.

Programming note: We will not publish tomorrow for the July 4 holiday. See you Monday!

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Essential Reads

Key business and economic news with implications this week and beyond:

Trump: US to begin informing countries Friday of tariff rates

President Trump said Thursday his administration would begin sending letters out to other countries this week informing them of tariff rates they would have to pay to do business in the United States, downplaying his desire to strike dozens of individual trade deals.

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Layoffs climb to highest level since 2020: Research

Layoffs across the United States have climbed to the highest level since 2020, when the COVID-19 pandemic slowed down economies around the world, according to a new report that was published on Wednesday.

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China knocks Trump trade deal with Vietnam

China knocked the newly announced U.S. trade deal with Vietnam, saying Beijing “firmly opposes” any deal that disadvantages its economy and pledged to take “countermeasures” to protect its own interests.

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Tax Watch

Inside Trump’s push to pass the ‘big, beautiful bill’

With the signature policy bill of President Trump’s second term hanging in the balance this week, the president and his allies got to work, using a mixture of vinegar and honey to win over skeptics and ensure its final passage.

It was a week of late night meetings and phone calls, stern posts on social media and cordial discussions at the White House as Trump and top advisers sought to win over skeptics of the “big, beautiful bill.”

Sources close to the White House argued Trump’s dominance within the Republican Party and the political risks of drawing his ire loomed large as the administration corralled votes. But they also pointed to assurances the White House made to lawmakers to win their support as a sign that it was not just threats that got enough Republicans to “yes.”

Trump is expected to sign the legislation Friday after it passed the Senate on Tuesday and the House on Thursday, with both chambers having embarked on marathon rounds of voting procedure, including several all-nighters.

“The president’s focus on relationships carried us through in kind of a cascade here when it came to be crunch time and the president was asking people to take tough votes, to come together, to unify,” a senior Trump White House official told reporters Thursday.

The Hill’s Brett Samuels has more here.

Tax Watch is a regular feature focused on the fight over tax reform and extending the 2017 Trump tax cuts this year. Email a tip

In Other News

Branch out with more stories from the day:

US stocks set another record and yields leap on signals the US economy is solid

NEW YORK (AP) — U.S. stocks climbed further into record heights on Thursday after a report showed …

Full Story

Good to Know

Business and economic news we’ve flagged from other outlets:

Here’s who stands to gain from the ‘big, beautiful bill.’ And who may struggle (CNN)
US stocks set another record and yields leap on signals the US economy is solid (The Associated Press)
Layoffs across the U.S. reach highest level since 2020. Here’s why. (CBS News)