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News in English (USA) / 21.05.2025 / 18:00

Senate Passes No Tax on Tips Act Unanimously, Aims for House Approval

In a surprising move, the Senate has unanimously passed the No Tax on Tips Act, eliminating federal income taxes on tips for service workers. The bipartisan support for the legislation indicates strong backing, with implications that could significantly benefit tipped workers financially. This bill, part of a broader initiative including tax breaks for cash tips, now heads to the House for approval. The legislation fulfills a promise made during the Trump administration and aims to ease financial burdens for those in the gig economy and related sectors. The implications of this bill are critical as it looks to reshape taxation for workers dependent on tips, with expectations of great impacts on their net income.
NBC News, The Hill, Senator Ted Cruz (.gov), Politico, CNBC, KATU, Fox News, Bergen Record, USA Today, The Washington Post