House Speaker Mike Johnson (R-La.) says the new No Tax on Tips law is helping Uber Eats drivers keep more of their earnings while criticizing Democrats for opposing it.
Tip Tax Cut Boosts Worker Pay
On Tuesday, Johnson shared on X that an Uber Eats driver, Bob Mitchell, told him that “even his accountant was shocked by how much more money he is keeping thanks to No Tax on Tips.”
Johnson used Mitchell’s example to underscore the effect of the Republican-backed Working Families Tax Cuts, which he said are designed to let millions of Americans retain more of their hard-earned income.
“That’s why Republicans pushed through the Working Families Tax Cuts, so millions of hardworking Americans like Bob can keep more of what they earn,” Johnson wrote.
He added, “Remember: Every single Democrat voted against allowing Americans to keep more of their hard-earned money.”
Trump Highlights Economy, Tax Refunds And Tip Tax Controversy
Earlier, President Donald Trump used the night’s State of the Union address to push his economic agenda and defend military pressure on Iran, drawing sharply divided reactions.
Republicans praised a comeback narrative, while Democrats, including Sen. Elizabeth Warren (D-Mass.) and Sen. Chuck Schumer (D-N.Y.), criticized the speech as out of touch with everyday costs and rising inflation.
Trump predicted Americans would see the “largest tax refund season ever,” citing his administration’s “One Big Beautiful Bill,” which consolidated 17 initiatives and included retroactive provisions like “No Tax on Tips” and “No Tax on Overtime.”
Refunds were projected to rise by up to $1,000 per filer, with additional boosts from tariff revenues.
Last year, Rep. Alexandria Ocasio-Cortez (D-N.Y.) had criticized the tip tax provision, noting the $25,000 cap hurt lower-income Americans while the broader bill raised taxes on those making under $50,000 and cut SNAP, Medicaid and ACA benefits.
The legislation passed narrowly in the Senate, with estimates projecting a $3.3 trillion increase in the national debt.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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