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Chairman Smith on Economic Reports: Faster Growth, Bigger Paychecks Makes Life More Affordable for Working Families

March 14, 2026

WASHINGTON, D.C. – House Ways and Means Committee Chairman Jason Smith (MO-08) issued the following statement after this week’s economic reports, the Consumer Price Index (CPI) report for February 2026, Personal Consumption Expenditures (PCE) for January 2026, and GDP estimates for 2025, which showed the economy growing faster than the Congressional Budget Office (CBO) projected after the Working Families Tax Cuts became law: 

“The economy is continuing to grow and working-class families are keeping more money in their pockets thanks to the Working Families Tax Cuts. Since the tax cuts were signed into law, the economy grew an average of 2.5 percent over the last two quarters. Growth was projected to have been even higher, but Democrats forced the government into a record-long 43 day shutdown, and cost the economy nearly a full percentage point. 

“In the 15 months under President Trump, inflation is falling back to where it was before Joe Biden and Democrats began their inflation-fueling spending spree. Wages have risen faster in one year under President Trump than in all four years of the Biden presidency combined. And thanks to No Tax on Tips, Overtime, and Social Security, a larger Child Tax Credit, and a bigger standard deduction, average refunds are up more than 10 percent and families earning $100,000 are experiencing the largest refund increases. Billionaires don’t receive tips or earn overtime. These tax cuts truly are for moms and dads who go to work everyday to support their families, and that is who Republicans will keep prioritizing.” 

Biggest Tax Refund Season in History
Working families have more money in their pockets to pay for food, housing, health care, and other necessities.

  • Average Refund is 10 Percent Larger: Compared to last year’s filing season, average refunds are more than 10 percent larger, totaling $3,700. 
  • President Trump’s New Tax Cuts Benefitting Americans: Nearly 45 percent of returns have claimed at least one of the new tax cuts in the Working Families Tax Cuts: No Tax on Tips, No Tax on Overtime, No Tax on Social Security, No Tax on Auto Loan Interest. 
  • Seniors Getting More Money Back: Seniors are receiving the largest dollar increase in their refunds, according to testimony from IRS CEO Bisignano before the Ways and Means Committee.
  • Working-Class Are Biggest Winners: Taxpayers earning less than $100,000 have seen the biggest percent jump in tax refunds, according to testimony from IRS CEO Bisignano before the Ways and Means Committee.