Trump-backed megabill to yield average tax cuts in excess of $3,500: Report

President Donald Trump has been serious about making sure that the American economy is running like a well-oiled machine, and he’s doing that by pulling back on the federal take.

According to a new report touted by the White House, the Republican-backed One Big Beautiful Bill Act, which was passed on July 4 of this year, will have a significant impact on taxpayers’ overall liability, as Breitbart News reported.

The assessment released last week asserts that taxpayers will see a $3,752 tax cut on average as soon as the bill is implemented.

The White House claimed that the One Big Beautiful Bill Act “makes the most significant legislative changes to federal tax policy” since the last time Trump was in office.

During his first term, the president pushed through the 2017 Tax Cuts and Jobs Act.

Key details emerge

Wyoming and Washington residents will likely see the biggest cuts, with a nearly $5,400 decrease in liability, according to the report.

Conversely, taxpayers in Mississippi and West Virginia will likely see the smallest difference.

Cuts there are projected to total between $2,400 and 2,500, respectively.

One Big Beautiful Minute: #OBBB Voices of Louisiana
💡 Fact: The #OneBigBeautifulBill locks in the Tax Cuts and Jobs Act’s lower tax rates and the 20% small business deduction — giving Louisiana entrepreneurs long-term tax certainty.
✅ More take-home pay for families
✅… pic.twitter.com/6PCjlCCYu2

— AFP Louisiana (@AFPLouisiana) August 19, 2025

Early projections reported

The Tax Foundation believes that the bill will increase the long-run GDP by 1.2% and reduce federal tax revenue by around $5 trillion over the near-decade spanning 2025 and 2034.

However, the bill also means that the debt-to-GDP ratio would increase by 9.6%, going from 117.1 % in 2034 without the bill to 126.7 % in 2034 on a conventional basis with the bill.

But the same foundation says that the newly minted law would prevent a tax increase for 62% of taxpayers.

This could result in big incentives to invest in the American economy, and the 1.2% GDP increase could ultimately be much higher, possibly producing a long-term increase from 162.3 % to 175.5%.