Working Families Tax Cut Act

This bill renames the "standard deduction" as the "guaranteed deduction" throughout the tax code (Section 2), primarily changing terminology without altering the deduction's structure. It then adds a temporary "bonus guaranteed deduction" for 2024-2025, increasing the deduction by $4,000 for joint filers/surviving spouses, $3,000 for heads of household, and $2,000 for others (Section 3). The bonus phases out for higher earners, reducing by 5% of modified AGI above $200,000 (singles), $300,000 (heads of household), or $400,000 (joint filers). These changes directly affect taxpayers who itemize or claim the standard deduction, with the bonus applying only to 2024-2025 taxable years.