Kamala Harris and Donald Trump Agree: No Taxes on Tips

At a rally in Las Vegas on Saturday, Vice President Kamala Harris said, “It is my promise to everyone here when I am president, we will continue our fight for the working families of America. Including to raise the minimum wage. And eliminate taxes on tips for service and hospitality workers.” 

The policy was already proposed by former President Donald Trump, who said, “The difference is, she won’t do it, she just wants it for Political Purposes! 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.”

Many outlets pointed out that Harris’ policy mirrors Trump’s and framed her as stealing Trump’s policy. Outlets on the right pointed out that outlets on the left framed the policy differently when introduced by Harris as opposed to Trump. Some on the left mentioned that the policy was proposed by Sen. Rand Paul (R-KY) before Trump, others said Harris’ adoption underscored bipartisan support for the policy. On both sides of the spectrum, some argued that the policy would have negative effects if implemented by any candidate.

An opinion from the Washington Post Editorial Board (Lean Left bias) argued that the idea of not taxing tips is a gimmick. “It’s an overreaction: Of an estimated 4 million tipped workers in the United States in 2023, more than one-third earn so little total income that they don’t owe any federal income tax, according to Yale’s Budget Lab…No matter the details, the whole idea of tax-free tips rests on an arbitrary distinction among workers. Why should a warehouse stocker, a grocery store checker, a security guard or a sanitation worker need to pay taxes on all their income but not a Black Jack dealer who earns most of her money from 'tips’?” 

The National Review Editorial Board (Right bias) was in consensus with the Washington Post. “When Donald Trump and Kamala Harris agree on something, it’s wise to exercise caution...It makes more sense to understand these statements as bipartisan pandering in an election year rather than a serious effort at tax reform,” the board said. “It is true that the tipped workers who do exist tend to have low incomes, but that means many of them already pay no federal income tax. Exempting tips from taxation would not help them reduce their income-tax bill, which is already zero.”

For USA Today (Lean Left bias), a columnist praised the policy, saying, “Lean in close, and I'll tell you a secret: Kamala Harris' best idea is actually Donald Trump's…Trump's idea to eliminate taxes on tips is popular because it appeals to everyday voters struggling to make ends meet, in large part because of an inflation rate that soared under Biden's stewardship of the economy.”

A writer for Fox News (Right bias) pointed out criticism of Newsweek’s (Center bias) coverage of Harris’ proposal. “The publication [Newsweek] released an article titled ‘Kamala Harris' Tax Proposal Backed by Majority of Republicans’ on Monday regarding Harris’ new support for banning taxes on tips for service and hospitality workers, after former President Trump embraced the policy in June…The headline, however, garnered the most attention with X users accusing the publication of trying to turn a Trump policy into a win for Harris.‘That’s because it’s Donald Trump’s tax proposal,’ The Spectator reporter Matthew Foldi wrote.”