Living Wage

Tip Tax Promise Remains Unfulfilled for Las Vegas Workers

In Las Vegas, tips are essential income for many hospitality workers, including waiters, dealers, and bartenders. For individuals like Sebastian Espinoza, who works at a major casino, the fluctuating nature of tips can make financial planning challenging. The high cost of living, particularly the impact of inflation on everyday expenses like groceries, further complicates matters.

President Trump's campaign promise to eliminate taxes on tips resonated with these workers. However, despite the promise, no legislation has been enacted on the issue. This has led to disappointment and calls for action from union leaders, including those from the Culinary Workers Union Local 226. They are urging the President to follow through on his commitment.

The White House has stated that the President is actively working with Congress to address the issue. Currently, two bills are under consideration. The Senate's proposal focuses solely on eliminating federal income tax on tips. The House bill, introduced by Representative Steven Horsford, includes the same tax relief and also proposes raising the sub-minimum wage for tipped workers to the federal minimum wage.

The potential for funding the tax cut through revenue from tariffs is being considered. Union leaders believe that with bipartisan support and the President's commitment, there is a real opportunity to make progress. For workers like Espinoza, the elimination of federal taxes on tips could provide significant financial relief, freeing up hundreds of dollars each month. They are eager for the political process to move forward and deliver on the promise.

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5 Comments

Avatar of G P Floyd Jr

G P Floyd Jr

Relying on tips means workers are at the mercy of customer whims. We should aim for a stable income for all.

Avatar of Rolihlahla

Rolihlahla

Eliminating federal taxes on tips could give workers hundreds of dollars back each month. That’s a win in my book!

Avatar of G P Floyd Jr

G P Floyd Jr

Kudos to Union leaders for advocating for workers! Let’s hope the President follows through on his promise.

Avatar of Rolihlahla

Rolihlahla

So you want to make hospitality workers even more reliant on tips? What about ensuring they have a fair base salary?

Avatar of Martin L King

Martin L King

I'm all for helping workers find financial stability. Let’s prioritize the needs of those who serve us every day!

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