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What does the No Tax on Tips Act actually say, and who voted for it?
11 sources · Congress.gov · Congressional Record · Roll Call
AI Summary
  • Exempts cash tips from federal income tax. Applies to workers in industries where tipping is customary — food service, hospitality, personal care.
  • The exemption is capped at $25,000 per year and phases out for higher earners above $160,000.
  • Passed the Senate 99–1. Passed the House 395–28. Sent to the President for signature.
  • Estimated 10-year cost: $150–200B. Critics note it primarily benefits higher-earning tipped workers.
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