September 10, 2024

Harris pledges to work to end taxes on tips for service industry employees, echoing Trump vow

Harris-Walz Rally at Thomas & Mack

Steve Marcus

Democratic presidential nominee Vice President Kamala Harris speaks during a campaign rally at the Thomas & Mack Center Saturday, Aug. 10, 2024.

Vice President Kamala Harris promised Saturday to work to eliminate taxes on tips paid to restaurant and other service industry employees, echoing a pledge that her opponent, Republican Donald Trump, has made, and marking a rare instance of political overlap from both sides.

Harris made the announcement at a rally on the campus of the UNLV, where the economy relies heavily on the hotel, restaurant and entertainment industries. Trump vowed essentially the same thing at his own rally in the city in June — though neither he nor Harris are likely to be able to fully do that without actions from Congress.

"It is my promise to everyone here that, when I am president, we will continue our fight for working families of America,” Harris said. “Including to raise the minimum wage and eliminate taxes on tips for service and hospitality workers.”

Trump responded on his social media site a short time later, posting that Harris “just copied my NO TAXES ON TIPS Policy.”

“The difference is, she won’t do it, she just wants it for Political Purposes!,” the former president wrote. “This was a TRUMP idea - She has no ideas, she can only steal from me.”

Harris' campaign said afterward that as president she would work with Congress to draft a proposal that includes an income limit and other provisions to keep hedge fund managers and lawyers from structuring their compensation to try to take advantage of the policy. She also would push for the proposal alongside one to increase the federal minimum wage.

Harris made her promise on eliminating tip taxation as part of a broader appeal to strengthen the nation's middle class, seizing on a theme that was a centerpiece of Biden's now-defunct reelection bid.

“We believe in a future where we lower the cost of living for America’s families so they have a chance, not just to get by, but to get ahead,” she said.