Former President Donald Trump spoke at a rally in Las Vegas on Saturday, saying he wants to help workers in the service industry, especially those who rely on tips. He promised to work with Congress to create a new law that would mean no federal taxes on tips. “No tax on tips!” he shouted, aiming to make life easier for many waiters, bartenders, and other hospitality workers, especially in Nevada where tourism is a big deal.
Trump’s idea fits into his larger goal of supporting workers and helping the economy. He even mentioned wanting to raise wages but didn’t share any details during his speech.
At the rally, Trump invited Rosanna Maietta, the leader of the American Hotel and Lodging Association, to speak. She praised his plan, saying it could help service workers feel more secure financially. “This plan builds on the good tax changes we saw during Trump’s first term,” she said, adding that her group would push Congress to pass the law because it could help many workers achieve their dreams.
However, not everyone agrees. The Culinary Workers Union, which stands for many hospitality workers in Nevada, was less enthusiastic. Ted Pappageorge, the union’s leader, said while the idea of no taxes on tips is great, it’s not enough. He believes it must go alongside a higher minimum wage and fixes to other issues that make life tough for workers. He called for support from both political sides to help working families, including addressing high living costs caused by some business actions.
Economists also have worries. Martha Gimbel, a director at Yale’s Budget Lab, said that if tips aren’t taxed, some companies might start paying lower base wages and push more of the pay onto tips. This could make workers more dependent on tips, which can be unpredictable.
Trump’s visit to Nevada was part of a larger campaign trip that included California and North Carolina, where he also talked about disaster relief efforts. He’s trying to show he cares about the everyday American worker
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