IRS chief predicts a 94% boost in tax refunds for middle-class Americans in 2026
The IRS Chief, Frank Bisignano, predicted that the largest tax refunds would be due to the OBBBA cuts.
Dec. 29 2025, Published 7:43 a.m. ET
Tax refunds can be a major source of income to boost household savings. Now, the CEO of the Internal Revenue Service, Frank Bisignano, has predicted that middle-class Americans are going to receive the largest tax refunds “ever seen” in 2026, under the provisions of the 'One Big Beautiful Bill Act. In an interview on Fox Business's "Mornings With Maria," Bisignano claimed that many families could save thousands, and all Social Security recipients will get a $6,000 tax benefit.
"You're going to look at probably 94%-plus of middle-class Americans getting a boost, your tax rates coming down and getting the benefit going forward," the IRS CEO said. The comments echoed the claims made by President Trump in his end-of-year address last week, in which he claimed that "the largest tax refund season of all time" was due to come next spring and many families could save between $11,000 and $20,000.
Bisignano further added that Social Security recipients will also get great benefits under the provisions of the OBBBA. "You'll see all our Social Security recipients getting up to a $6,000 benefit as [Trump] committed to the benefits of Social Security not being taxed," he added. "It will be the biggest refunds that we've ever seen, and it's all because of the president's leadership and the Treasury secretary’s under ‘One [Big] Beautiful Bill,’ which is unparalleled," Bisignano said. He further added that the savings initiative for children, dubbed the "Trump accounts," will also begin accepting contributions starting July 4, 2026.
The comments come from both the Treasury Secretary Scott Bessent and National Economic Council Director Kevin Hassett, predicting larger refunds and higher take-home pay next year, amid concerns of affordability. Both told FOX Business that the administration expects larger refunds and higher take-home pay next year, as Americans continue to voice concerns about affordability.
Earlier, on the "All-In Podcast," Bessent predicted that Americans will see "gigantic" refund checks in the upcoming tax filing season, thanks to the cuts introduced by the OBBBA. Bessent, who also serves as the acting commissioner of the IRS, told the hosts that the tax provisions in the act will be applied retroactively to the beginning of the year, and as most workers did not change their withholdings, they can expect sizeable refunds in 2026.
"We are going to see the biggest refund cycle ever in the history of America, and people are going to get massive refund checks," Hassett said in an interview. "Varney & Co." last week. He added that refund checks could see a boost of a "couple-thousand-dollars" because of just one provision. "The numbers are striking," he commented.
The Tax Foundation, a nonpartisan tax policy nonprofit, shared in its December 17 report that "refunds will be larger than typical in the upcoming filing season." According to the foundation's estimate, the OBBBA reduced individual taxes by $144 billion in 2025, with outside estimates suggesting that up to a $100 billion of that could go to higher tax refunds for Americans, pushing the average returns up by roughly $1,000.
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