No Tax on Tips

This article is part of the series, “Left Hook: The Dollars & Sense Policy Forum.”

Dollar & Sense‘s John Miller argues that the No Tax on Tips Act would do far too little to better the lot of low-income workers. For example, “For taxpayers making less than $33,000 a year, their after-tax income would increase by $10 a year on average, or $450 a year if they are among the 1.4% of households in this group benefitting from the no tax on tips proposal.” Worse yet, no tax on tips could stand in the way of measures that would do far more to benefit tipped and other low-income workers, including the passage of the Raise the Wage Act of 2025.