President Trump is headed to Las Vegas this week to highlight the new no-tax-on-tips law, one of the new tax breaks Americans will get when they settle up with Uncle Sam by Tax Day.
The president is making a big bet in the gambling capital of America that ramping up his tax message will prevent Democrats from reclaiming Congress in this year’s midterm elections. His visit to Las Vegas on Thursday and Phoenix on Friday is part of what the White House has dubbed “Tax Week,” when Mr. Trump will promote the tax cuts Americans got this year from his One Big Beautiful Bill Act.
On Monday, Mr. Trump welcomed DoorDash employee Sharon Simmons to the White House, where she touted the windfall she’s reaping from not paying income tax on her tips, saying the tax break gave her roughly $11,000 in extra income.
The White House on Tuesday highlighted everyday Americans and small business owners who said the tax cuts put more money back in their pockets.
“It was really great to have that extra money and say, ’We can pay off what we owe and do something nice for ourselves and the family’,” said Ashley Norwood of South Carolina, who said she benefited from both no-tax-on-tips and no-tax-on-overtime pay.
Food service workers are seeing tax refund increases ranging from $1,500 to $2,500 this year, according to Joshua Chaisson of the Restaurant Workers of America in Maine.
“As Americans file their taxes ahead of Tax Day, President Donald J. Trump’s Working Families Tax Cuts are delivering real relief — putting more money back in the pockets of hardworking parents, strengthening families, protecting seniors and helping build a brighter future for the next generation,” the White House said in a statement.
Critics say the increase in tax refunds won’t be enough to cover the spike in gasoline resulting from the Iran war and his tariff policy, which increased the cost of some goods.
The average gas price on Tuesday is $4.11 per gallon, nearly a dollar more than it was at the same time last year, according to the automobile group AAA.
“Trump’s disastrous economic agenda has cost American households six times more than the average expected tax refund increase,” the Democratic National Committee said in a statement.
Affordability is going to be the critical issue in the midterm election as both parties scramble to prove they will address cost-of-living increases. Inflation spiked in March as the Iran war pushed up gasoline and other prices for consumers. The consumer price index, a key inflation measure, rose 3.3% in March, up from 2.4% in February.
At both rallies, Mr. Trump intends to argue that his tax cuts are returning money to Americans’ pocketbooks.
“The president has a good story to tell with the tax cuts,” said James Mohs, an economist with Mohs & Co. “But it’s just now resonating through the economy. We’ve got reduced withholding, which is increasing take-home pay. But it’s just starting to trickle in.”
Mr. Mohs added that while the tax cuts are a positive, he’s worried that it could be overshadowed by the increase in gas prices caused by the Iran war.
“They have to turn this around before the midterms, otherwise it’s going to have a serious impact on them,” he said.
• Jeff Mordock can be reached at jmordock@washingtontimes.com.
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