Ashley Moody is celebrating the one-year milestone of what she describes as the largest tax cut in American history. President Donald Trump signed the Working Families Tax Cut Act into law on July 4, 2024, and Moody has been a vocal supporter of the legislation. As the first anniversary approaches, she is drawing attention to the tangible financial benefits that have reached Floridians and Americans across the country.
The measure eliminated federal taxes on three major categories of income: Social Security benefits, tips earned by service workers, and overtime pay. Moody has made clear her commitment to this tax relief approach. "It's not the government's money. It's your money, and you should be allowed to keep as much of it as possible. That is why I supported no tax on Social Security, no tax on tips, and no tax on overtime," she said in a statement released Thursday. She emphasized her intention to continue pursuing tax cuts and fiscal responsibility in her future role. "In the year since the tax cuts became law, it is clear that we delivered for real relief for Floridians, and as your U.S. Senator, I will continue to look for ways to cut taxes, eliminate waste and support economic growth here in the Sunshine State."
The numbers released by Moody's office demonstrate the widespread impact of the legislation. Nationally, Americans have claimed $82 billion in individual relief, with 97 percent of taxpayers experiencing a reduction in federal taxes during the most recent filing season. Specifically, 7.5 million Americans paid no federal tax on tips, 29 million avoided taxes on overtime earnings, and 35 million seniors claimed a larger tax deduction. Florida residents have fared particularly well under the law, receiving the largest average federal tax refunds in the nation. The average refund for Florida filers reached approximately $4,500, significantly exceeding the national average of $3,300.
The legislation also created new financial opportunities for younger Americans and their families. More than 5.5 million child-owned investment accounts have been opened since the law took effect, with 1.4 million of those accounts currently eligible for a $1,000 Treasury contribution. Parents of babies born between 2025 and 2028 can take advantage of this benefit if they choose to participate in the program. These provisions represent an effort to build long-term financial security for the next generation of Americans.