Ending federal income taxes on tips, one of President Donald Trump 's signature campaign pledges in the 2024 election, could potentially backfire as Americans grow weary of tipping, experts have told Newsweek .
No tax on tips was something the president said he would enact "first thing" if he won the November election. The idea, launched in the service industry behemoth that is Las Vegas, quickly took hold with the electorate, so much so that his Democratic opponent Kamala Harris was quick to pledge the same relief for tipped workers should she win the White House race.
Fast forward 5 months into the second Trump administration, the pledge hasn't yet been enacted, but the idea is certainly beginning to take shape. As part of the One Big Beautiful Bill Act , Republicans have pro