Trump-era legislation introduced in 2017 through the Tax Cuts and Jobs Act made sweeping changes to the tax landscape.
This included reducing individual income tax rates, nearly doubling the standard deduction, and increasing the federal estate tax exemption.
But these cuts are set to expire at the end of 2025, and most Americans will see their tax bills rise as a result.
Residents of some states will be more affected than others, according to analysis by the nonpartisan think tank Tax Foundation.
Lawmakers from both parties say they want to avoid raising these taxes. Donald Trump wants to extend the expiring tax cuts, while Democrats want to keep the cuts for households earning less than $400,000 a year.
Trump-era legislation introduced through the Tax Cuts and Jobs Act in 2017 brought sweeping changes to the tax landscape.
According to the Tax Foundation, Massachusetts taxpayers will see the biggest increase in their bill in 2026 if the cuts expire and business taxes rise as scheduled, with an average increase of $4,682 a year.
Washington residents will see their bills rise an average of $4,429, while a $4,312 increase will be the norm for ratepayers in Wyoming.
In Washington, DC, the average taxpayer will have to shell out $3,746 more per year if the legislation expires as planned.
Nationwide, the average taxpayer would see an increase of $2,853 if the tax provisions expired all at once, according to the think tank.
The Tax Foundation also calculated the typical change in taxes paid per taxpayer in each U.S. congressional district.
The congressional district covering the San Francisco area, for example, was found to see an average tax increase of $16,127 per taxpayer, the highest in the United States.
The expiration would raise taxes more for higher-income households, which could skew the average in some places. The Wall Street Journal reported.
When former President Donald Trump introduced the provisions in 2017, the change in the amount of taxes a household paid depended on its income, family structure and location.
The biggest winners included higher-income earners in states with no income tax, the outlet said.
Meanwhile, residents of high-tax states like New York and New Jersey saw smaller reductions in their taxes owed.
If the tax cuts were to expire, many of those effects would play out in reverse.
For example, many states that do not have an individual income tax (including Wyoming, Nevada and Florida) are among the ten states that will see the highest average increase if the cuts expire.
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The Trump-era tax cuts are set to expire at the end of 2025, and most Americans will see their tax bills rise as a result.
According to the Tax Foundation, Massachusetts taxpayers will see the biggest increase in their bill in 2026 if the cuts expire, with an average increase of $4,682 per year (pictured: Boston waterfront)
According to The Wall Street Journal, a complete expiration of the law is not a likely outcome, but how the legislation is handled will likely be a contentious multi-billion dollar negotiation in 2025.
The Tax Foundation estimates that expanding the provisions for individuals and businesses, excluding changes to the estate tax, would cost about $3.8 trillion over the 10-year budget period from 2025 to 2034.
In addition to expanding all of the provisions, Trump also proposed eliminating taxes on tips and Social Security benefits, and reducing the corporate tax rate from 21 percent to 15 percent.
Vice President Kamala Harris also proposed eliminating tip taxes, expanding the child tax credit and leaving the cuts in place for people making up to $400,000 a year.
