Ted Cruz Puts Trump’s Tax Idea Into Bill Form, Quickly Gets Support from Fellow Republicans

Republican Sen. Ted Cruz of Texas is not waiting until after the presidential election to launch a bid to put one of former President Donald Trump’s ideas into effect.

Cruz has introduced the No Tax on Tips Act that would keep the Internal Revenue Service from taking a slice of the income service workers gain through tips,  according to a news release on Cruz’s website.

During a recent rally in Las Vegas, Trump indicated he opposes taxes on tips, according to The Hill.

“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,” Trump said.

“We’re not going to do it, and we’re going to do that right away, first thing in office, because 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,” he said.

Cruz said that the National Restaurant Association and other groups support his bill.

“American workers in dozens of industries depend on tipped wages to support themselves. Today, I am introducing pro-worker legislation, the No Tax on Tips Act, to ensure they get to keep all of those tips. This legislation is a common-sense pro-worker bill that will help families deal with the historic inflation caused by the Biden administration,” he said.

The bill is co-sponsored by Republican Sens. Steve Daines of Montana, Rick Scott of Florida and Kevin Cramer of North Dakota.

“President Trump is right: tips are earned by providing good service. It is simpler and more fair to let these workers keep the reward they earned rather than send it to D.C. bureaucrats,” Cramer said.

Daines said the bill is an antidote to the inflation created by President Joe Biden.

“Providing a much-needed tax cut for working families will help offset Biden’s high prices,” he said.

Sean Kennedy, executive vice president of public affairs for the National Restaurant Association, said Cruz’s bill “would provide immediate tax relief for more than 2.2 million restaurant employees and their families, putting more money in their pockets at a time when we’re all feeling the squeeze of higher prices.”

Myra Reddy, director of government affairs for the Professional Beauty Association, noted that 1.3 million licensed beauty professionals would also be impacted by the bill.

“Restaurant servers, bartenders, and other tip-earning employees give so much to the local businesses and communities they serve—delivering the essential service of food with hospitality that creates lasting memories,” Emily Williams Knight, president and CEO of the Texas Restaurant Association said.

“It’s wonderful to create an opportunity to give back to them by helping them keep more of their hard-earned tips that they can invest in their families and our local economy,” Knight said.

The bill would allow Americans to deduct 100 percent of their tipped wages when they file their taxes.


This article appeared originally on The Western Journal.

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