Democrats and Republicans united in the U.S. Senate for the first time in who knows how long to pass Donald Trump’s no tax on tips plan on Tuesday.
The bill would allow those who earn tips at work to claim a 100% deduction on their tips, Breitbart News reported.
The legislation also includes a renewal and expansion of the 2017 Trump tax cuts, and adds no tax on tips, no tax on Social Security, and no tax on overtime workers.
The bill was passed in the Senate on unanimous consent — meaning they called for a straight up vote with no debate of alterations to give the bill expedited passage.
This is part of the budget bill that Trump has been calling the “One Big Beautiful Bill.”
The no tax on tips provision will cover $25,000 in tips per year for workers who earn $160,000 or less a year.
The bill now goes to the House for its consideration and if passed will then to to the president to sign into law.
“Whether it passes free-standing or as part of the bigger bill, one way or another, ‘No Tax on Tips’ is going to become law and give real relief to hard-working Americans,” said Texas Senator Ted Cruz who introduced the bill.
“So I’m proud of what the Senate just did, and I commend Democrats and Republicans, even at a time of partisan division, coming together and agreeing on this commonsense policy.”
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