On January 25, 2025, President Donald Trump visited Las Vegas to promote his proposal to eliminate federal taxes on tips, a policy aimed at benefiting workers in the hospitality and gaming industries. Speaking at the Circa Resort & Casino, Trump emphasized his commitment to ensuring that service employees retain more of their hard-earned income.
The initiative to exclude tips from federal taxation has garnered support from industry leaders. Rosanna Maietta, President of the American Hotel and Lodging Association, praised the proposal, highlighting its potential positive impact on service industry workers.
Implementing this tax change will require congressional approval. Given the Republican majority in both chambers, the administration is optimistic about advancing the proposal. Nevertheless, some economists caution that eliminating taxes on tips could lead employers to reduce base wages, shifting a greater reliance on tips and potentially offering tax advantages to business owners. Was
During his address, President Trump also touched upon other significant topics. He mentioned the possibility of rejoining the World Health Organization (WHO), contingent upon the organization implementing certain reforms. This statement comes shortly after an executive order to withdraw the United States from the WHO, citing concerns over disproportionate financial contributions and the need for organizational improvements.
Trump’s visit to Las Vegas is part of a broader tour following his inauguration, which has included stops in California to address wildfire damage and in North Carolina to discuss hurricane recovery efforts. In these appearances, he has emphasized his administration’s commitment to reversing policies from the previous administration and implementing new initiatives aimed at economic growth and national security.
The Las Vegas event underscores the administration’s focus on economic policies designed to directly impact workers’ take-home pay, particularly in industries central to Nevada’s economy. As the proposal progresses, it will be essential to monitor its reception among lawmakers, industry stakeholders, and the workers it aims to benefit.