Trumpflation Ruins GOP’s Tax Day Celebration
Republicans were looking forward to taking credit for the modest additional tax benefit given to regular Americans this year, but the affordability crisis exacerbated by Trump's war in Iran has made this a challenge.
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While many Americans dread April 15, Republicans were looking forward to Tax Day this year. That’s because it allows them to celebrate a rare achievement: the tax provisions included in their “One Big, Beautiful Bill.”
You can criticize that legislation all you want, e.g., for further eroding the social safety net to pay for the lavish benefits the ultra-wealthy receive, but it does put more money in the pockets of most taxpayers.
While Republicans make it sound as though the result is a real bonanza for regular people, that’s a bit misleading. On the one hand, that’s because the bill’s main benefit is that it made expiring income tax cuts permanent. In other words, it doesn’t take something away that Americans were getting previously, which is nice but doesn’t result in extra money.
On the other hand, it’s because the net effect isn’t amazing.
According to the IRS, the average refund has increased by $350. That isn’t nothing, especially at a time when so many American families are having trouble making ends meet.
But therein lies the real problem for Republicans who want to get credit for making life easier for regular people: People are really struggling, and that extra money is a drop in the bucket in light of the different ways in which Donald Trump has exacerbated the affordability crisis.
Contrary to the president’s claims, inflation is up to the highest level in nearly two years, and gas prices are skyrocketing because of the war he started with Iran.
When will they come back down? Trump has no idea.
According to Brown University’s Watson School of International and Public Affairs, the average US household has been forced to pay an extra $150 just for gasoline and diesel since the start of the conflict.
But it’s not just fuel. The closure of the Strait of Hormuz will lead to higher prices for many different goods later this year. Among them is US-grown food because farmers have to pay a premium for fertilizer right now.
Even if the war ended today, its effects would still be felt for months.
In addition, contrary to Trump’s claims, Americans have realized that they, as well as the businesses they work for and buy from, are the ones paying for the president’s tariffs.
That means that, for most working-class households, that extra refund money will probably go toward paying for a couple of months of more expensive food and gas, not a vacation or a new phone.
Of course, many Americans might also just try to pay off a bit of their credit card debt, which rose 5.5 percent in 2025.
The point is that, while Republicans really did provide some tax relief to most people, it’s not going to feel like a victory on Tax Day with most households getting crushed by ever-increasing prices. In fact, instead of getting credit for doing one thing that benefits Americans, the Trump administration and the GOP in Congress are (rightfully) getting blamed for caring more about foreign wars and voter suppression bills than addressing the affordability crisis they promised – and were elected – to fix.
