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Trump's Tax Updates Could Boost Refunds for Many

2/5/2026

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Summary

Story summary

U.S. President Donald Trump’s tax updates may lead to larger refunds for many Americans.
The "no tax on tips" provision lowers federal income tax liability.
It does not eliminate Social Security and Medicare taxes on tip income.
Tip-dependent taxpayers could see smaller refunds or unexpected balances due to withholding.
Federal income taxes are due on April 15.

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Story summary

U.S. President Donald Trump’s tax updates may lead to larger refunds for many Americans.
The "no tax on tips" provision lowers federal income tax liability.
It does not eliminate Social Security and Medicare taxes on tip income.
Tip-dependent taxpayers could see smaller refunds or unexpected balances due to withholding.
Federal income taxes are due on April 15.