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Tipped workers expect tax boon this year, but not a long-term fix

NPR·Luke Garrett·7 months ago
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President Trump speaks about the economy during an event at the Circa Resort and Casino in Las Vegas on Jan. 25, 2025. Mark Schiefelbein/AP hide caption

Mark Schiefelbein/AP

During the State of the Union address, President Trump promised the largest tax refunds in American history this year after Congress passed steep tax cuts this past summer.

"With the great big beautiful bill, we gave you no tax on tips," Trump said before introducing guest Megan Hemhauser, a Pennsylvania mother and waitress. "Megan is here this evening, and she's happy to tell you that she is so, so much richer because with no tax on tips, no tax on overtime, and our expanded child tax credit, Megan and her husband will take home more than $5,000 extra."

Trump's promise of higher tax returns for working class Americans comes as U.S. surveys increasingly show people disapprove of Trump's handling of the economy, according to a recent NPR/PBS News/Marist poll .…

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