Trump Proposes Eliminating Federal Income Tax for Earners Under $150,000

Trump Unveils Bold Plan to Abolish Federal Income Taxes for Most Americans

President Trump is once again proving why he’s the true America First candidate, unveiling a game-changing plan to eliminate federal income taxes for all Americans earning under $150,000 a year.

The groundbreaking proposal was confirmed by U.S. Commerce Secretary Howard Lutnick during a Tuesday interview with CBS News, where he called it one of the most ambitious tax cuts in modern history.

“I know what his goal is: No tax for anybody who makes less than $150,000 a year. That’s his goal. That’s what I’m working for,” Lutnick told CBS.

JUST IN — Commerce Secretary Howard Lutnick issues further details on President Trump’s goal to waive taxes for Americans making $150,000 or < per year https://t.co/33uIOidcTm pic.twitter.com/vdYtPi2kP5

— livefreeopinion (@livefreeopinion) March 13, 2025

For working families, that means thousands of dollars back in their pockets every year—money that would otherwise be wasted by Washington bureaucrats. And unlike the Democrats’ endless tax-and-spend schemes, Trump has a concrete plan to make it happen.

How Trump Will Pay for It

In a Fox News interview, Lutnick detailed Trump’s strategy for cutting taxes while keeping the budget balanced—something unheard of under Biden’s reckless spending spree.

Eliminating Waste, Fraud, and Abuse

• Trump plans to cut at least a trillion dollars in government waste, particularly in bloated entitlement programs and unnecessary federal spending.
• Under Biden, billions have been lost to fraud—COVID relief checks sent to dead people, millions handed to illegal immigrants. Trump will put a stop to it.

Tariffs on Foreign Competitors

• Instead of taxing hardworking Americans, Trump will generate revenue through tariffs on foreign imports—making China and other trade abusers pay their fair share.
• This boosts American manufacturers and prevents foreign companies from undercutting U.S. businesses with cheap, low-quality products.

Ending Offshore Tax Scams

• No more multinational corporations hiding billions overseas to dodge U.S. taxes.
• Countries like Ireland have raked in a $75 billion surplus by siphoning profits away from America—Trump will shut that down.

Major Tax Relief for Working Americans

• No tax on tips—restaurant and hospitality workers keep every dollar they earn.
• No tax on overtime—because those who work harder shouldn’t be punished for it.
• No tax on Social Security—retirees who paid into the system deserve their benefits tax-free.

This is Trump’s America First economy in action—real relief for working Americans while holding global elites and foreign competitors accountable.