A Year After H.R. 1, Wealth Gains for the Few and Losses for the Many

The analysis from the Institute on Taxation and Economic Policy indicates the richest 1% of Americans are set to receive $117 billion in net tax cuts by 2026, averaging $66,000 per household. This figure eclipses the combined tax benefits granted to the bottom 60% of the population. Simultaneously, the law triggered the largest reduction in federal healthcare funding in U.S. history, removing over $1 trillion from Medicaid and the Affordable Care Act.

As of March 2026, enrollment in Medicaid and the Children's Health Insurance Program dropped by 3.8 million. With the expiration of marketplace subsidies, insurance premiums have surged by an average of 114%, forcing over 4 million people to abandon coverage. Protect Our Care reports that more than 1,000 medical facilities nationwide have shuttered or reduced services, leaving rural and low-income communities with limited access to essential care.

Food assistance programs have faced similar retrenchment. After a $187 billion cut to the Supplemental Nutrition Assistance Program (SNAP), more than 4 million people lost benefits. Work requirements for young adults have further thinned the rolls, a move critics argue ignores the economic instability facing the 18-24 age demographic. Jared Bernstein, former chair of the Council of Economic Advisers, emphasized that the average SNAP benefit remains below $3 per meal, challenging the notion that these programs were targets for legitimate cost-saving measures.

The legislation has also stalled the transition to renewable energy. By eliminating tax credits, the law halted 382 projects and erased approximately 140,000 jobs. Rep. Dina Titus (D-Nev.) noted that while the GOP championed the bill upon its passage, public support remains low, with recent polling showing 48% disapproval. Lawmakers are now bracing for the political fallout as the economic impact of these policy shifts becomes increasingly visible to voters.