Tax Day arrives as millions of Americans take advantage of new deductions

It’s Tax Day, the deadline for most Americans to file taxes, and the Trump administration says millions of people have already used new breaks such as no tax on tips and overtime, exemptions for interest on certain car loans, deductions for some seniors, and Trump Accounts for children’s savings.

More than 53 million filers claimed a deduction under one of those provisions from Republicans’ massive tax and spending law, a Treasury official told reporters Tuesday before the deadline, with 6 million people claiming no tax on tips, 21 million claiming the overtime deduction and 30 million older Americans claiming the enhanced deduction. 

The official, who spoke on condition of anonymity to preview the numbers, said the 2026 filing season was a success from the administration’s perspective.

Still, the latest data comes as 70% of Americans still think their taxes are too high, according to recent polling, despite the passage of the GOP-led tax law that promised big savings for taxpayers.

As the tax season kicked off in January, the White House boasted that average refunds were projected to rise by at least $1,000. But currently, the average refund amount is $3,462, according to the latest IRS data, which is up 11% or about $350 from last tax year’s $3,116 average refund payment.

The Associated Press has the full story.