'No tax on tips' promise remains a sticking point as Senate grapples with spending bill
- The Republican-controlled Senate is preparing amendments to President Trump's domestic policy bill, focusing on tax cuts and spending in June 2025.
- Senate Republicans face pressure to pay for the bill and may remove or narrow some Trump tax exemptions like 'no tax on tips' due to concerns about fairness and cost.
- Key figures like Sen. John Thune expect most of Trump's tax priorities, including the tips exemption, to stay in the Senate version despite ongoing negotiations.
- The House passed a related bill by a 215-214 margin that includes a $235 billion compromise with exemptions sunsetting in 2029, while Senate tax writers consider further changes.
- The Senate's handling of the bill will influence Trump's 2024 campaign promises and may result in either maintaining or scaling back tax cuts to satisfy a narrow Republican majority.
15 Articles
15 Articles
The Trump Deduction: A simpler path to tax-free tips and overtime
The current version of President Donald Trump’s One Big Beautiful Bill Act delivers on one of his core campaign promises – exempting tips and overtime pay from federal taxation. But he could score a victory on this promise in a more beautiful way by creating a new "Trump Tips and Overtime Deduction" that would be available exclusively to workers who receive tips or overtime pay. Tax-free tips and overtime are politically popular, but messy and p…
Letters: Gig workers should be included in "no tax on tips" legislation
I’ve spent most of my life in the restaurant management business. When I retired about three years ago, I wanted to see what it was like on the other side as a delivery driver. That’s how I found DoorDash. Since…
'Can't accept that': GOP senators may toss out key Trump campaign promises in his big bill
The Republican-controlled U.S. Senate is preparing to make its own changes to President Donald Trump's massive domestic policy legislation, and some of those tweaks may include scrapping some of Trump's biggest 2024 campaign promises.According to a Wednesday report in the New York Times, GOP lawmakers in the upper chamber of Congress are making new efforts to pay for the trillions of dollars in tax cuts included in the bill (which are overwhelmi…
Senate GOP takes Trump tax promises off megabill chopping block
Senate Republicans are not planning drastic changes to the White House’s tax priorities despite talk of stripping them out of President Donald Trump‘s “big, beautiful bill.” Senate Majority Leader John Thune (R-SD) said Tuesday that he expects “no tax on tips” and other exemptions Trump promised on the campaign trail will stay in the megabill, though he acknowledged the Senate may tweak some provisions to satisfy the concerns of tax writers. Rep…
‘No tax on tips’ flies into some mild Republican Senate turbulence • Nevada Current
Sen. Lindsay GrahamA pair of Republican U.S. senators are casting shade on the prospect of Donald Trump’s most Nevada-centric campaign promise making it to the finish line in Trump’s big budget bill. “There’s some things that the president wants, like no tax on tips and overtime. All this may be hard to fit in completely,” Sen. Lindsey Graham (R-SC) told Semafor. Graham, who is chairman of the Senate Budget Committee, has a solution: Pass anothe…
'No tax on tips' promise remains a sticking point as Senate grapples with spending bill
Senate Republicans are still deeply divided over how to cut the cost of the so-called big beautiful bill.One policy some lawmakers are reportedly looking to scale down is a provision that would ensure no taxes on tips, no taxes on overtime and tax relief for seniors banner proposals that candidate Trump touted on the campaign trail.The concern from some fiscal conservatives is that those policies are not sufficiently pro-growth. Senator Ron John…
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