Biden would sign a bill eliminating a tax on tips, White House says
President Biden would “absolutely” sign legislation to eliminate taxes on tipped wages if it made it to his desk, the White House said Monday, embracing a policy first proposed by former President Trump and echoed by Vice President Harris.
“Look, this is something that the president supports,” press secretary Karine Jean-Pierre said in a briefing. “He supports eliminating taxes on tips for service and hospitality workers while also raising minimum wage and preventing the wealthy from gaming the system.”
Jean-Pierre argued such a proposal would align with Biden’s efforts to support working Americans and build the economy “from the bottom up and the middle out.”
Biden had not previously spoken about the concept publicly. Trump first raised the idea in June at a rally in Nevada, which is a battleground state and home to thousands of service industry workers.
Republican lawmakers quickly followed Trump’s suggestion by introducing a bill aimed at eliminating taxes on tips. Critics of the proposal have warned it could further grow the national debt and could be taken advantage of by wealthy individuals.
Harris, who replaced Biden as the Democratic nominee after he opted not to seek reelection, said at a Las Vegas rally Saturday night she would support ending taxes on tipping, mirroring Trump’s proposal.
“It is my promise to everyone here when I am president, we will continue to fight for working families, including to raise the minimum wage and eliminate taxes on tips for service and hospitality workers,” Harris said Saturday night.
A Harris campaign official said the proposal would require congressional action and should include an income limit.
Trump and his campaign have blasted Harris for copying his idea.
“The difference is, she won’t do it, she just wants it for Political Purposes!” Trump posted on Truth Social. “This was a TRUMP idea – She has no ideas, she can only steal from me. Remember, Kamala has proposed the LARGEST TAX INCREASE IN HISTORY – It won’t happen.”
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