The Tax Cuts and Jobs Act of 2017 was the largest overhaul of the federal income tax in
decades. The law changed deductions, exemptions, and tax rates for individuals, while
reducing taxes on businesses.
Federal, state, and local governments seek to assist poor households financially using
transfers, minimum wage laws, and subsidies for important goods and services. This
“income-based” approach to alleviating poverty aims both to raise household incomes directly and to shift the cost of items, such as food, housing, or health care, to taxpayers. Most contemporary ideas to help the poor sit firmly within this paradigm