Sen. Ted Cruz, R-Texas, on Thursday reintroduced a bill that would exempt tips from federal taxes.
The bipartisan No Tax on Tips Act, backed by Democratic Sens. Jacky Rosen and Catherine Cortez Masto of Nevada and Republican Sens. Pete Ricketts of Nebraska and Steve Daines of Montana, would "amend the Internal Revenue Code of 1986 to eliminate the application of the income tax on qualified tips through a deduction allowed to all individual taxpayers, and for other purposes."
Cruz introduced similar legislation in the 118th Congress.
"American workers in many industries rely on tipped wages to make ends meet. Today, I'm introducing my bipartisan No Tax on Tips Act — legislation I authored to fulfill President [-elect Donald] Trump's promise to end the wrongful practice of taxing voluntary tips," Cruz said.
"I've long believed the GOP should be the party of bartenders, of waiters and waitresses, and this bill is an important step to ensure we are addressing the economic needs of working Americans."
Solange Reyner ✉
Solange Reyner is a writer and editor for Newsmax. She has more than 15 years in the journalism industry reporting and covering news, sports and politics.
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