The no tax on tips provision of Donald Trump’s budget cannot be the pro-labor gift that the president has made it out to be while the rest of the bill slashes health care and other social programs for lower-income people. Representative Alexandria Ocasio-Cortez shed some light as to why that’s the case.
If you’re just below the $150k limit (whatever that provision means) you’d get less than a 1% savings on your tax bill. And if you already earn less than $30k annually you probably weren’t paying taxes anyway. Not to mention cash tips are pretty much “under the table”.