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Hassett: US ‘going to see the biggest tax refund season of all time’ in 2026

The new federal tax law causes many taxpayers to receive larger refunds, with average increases of $300 to $1,000, benefiting seniors, tipped, and overtime workers.

  • National Economic Council Director Kevin Hassett predicted the largest-ever U.S. tax refund cycle in 2026 during televised interviews including Fox Business and Fox News Sunday; Reuters reports the season runs from Jan. 28, 2026 to April 15.
  • Because withholding tables were not updated, officials say the IRS held more money and must return it, with refunds increasing by $300 to $1,000, following the enactment of the One Big Beautiful Bill Act in July 2025.
  • Officials are also weighing a 1,490 'tariff dividend' cheque, benefiting low- and middle-income households, Hassett said.
  • Several states have passed decoupling legislation to protect budgets, while Georgia, Maryland and South Carolina are expected to address tax relief next year, causing uneven effects.
  • Since elections were held last month, the White House has focused on the U.S. economy as Republicans in the House and Senate push further tax proposals, including President Donald Trump's $1,776 'warrior dividend' bonus.
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  • 71% of the sources lean Right
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NTD News broke the news in on Sunday, December 21, 2025.
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