Tipsheet

Trump's Latest Proposal Could Earn Him Big Points With Blue-Collar Workers

Former President Donald Trump is putting American workers first— unlike the incumbent leader in the White House now. 

Trump discussed the proposal of eliminating taxes on servers' tips in his pitch for a new policy position that could inch him closer to victory in November. 

The former president introduced the idea during a rally in Nevada over the weekend where many Americans work at hotels, restaurants, and in the entertainment business and rely on tips to make ends meet. 

“This is the first time I've said this and for those hotel workers and people that get tips, you're going to be very happy, because when I get to office, we are going to not charge taxes on tips, people making tips,” Trump said. “It’s been a point of contention for years and years and years, and you do a great job of service, you take care of people, and I think it's going to be something that really is deserved.” 

His proposal was met with praise from Republicans and even a few Democrats who were reluctant to oppose the idea. 

Sen. Ron Johnson (R-Wis.) said the former president has a “dark good idea,” saying that Trump sold Republicans when he floated his no-tax proposals. 

“One of the reasons he's doing this [is] because the Biden administration is taking on onerous reporting regulations. They want to make sure they get every tax, every little penny of tip. And this [is] just a total break from that,” Johnson said. 

House Appropriations Chairman Tom Cole (R-OK) also praised the idea, saying said that “It’s true, gifts aren’t a taxable item, so there’s considerable merit to that in my view.”

Committee member Brad Wenstrup also touted Trump’s idea after saying that he waited tables for nine years, believing the topic deserves a conservation. 

Democrat Ways and Means member Dan Kildee (D-Mich) also said that he was open to the idea of eliminating taxes for service workers. However, he still downplayed Trump’s economic policies as an election ploy. 

“If what we’re talking about is giving more tax relief to working people, the method we use to get there, I’m open to conversation on that,” Killed said. “When it comes to tax policy, we do not have a tax code that requires the wealthiest and well-connected to pay their fair share. That’s got to be our first priority.” 

Trump said he got the idea after talking to a waitress who said she struggles to make ends meet every month.