When will Trump end taxes on tips, OT and Social Security? White House says GOP must include in reconciliation bill

NY Post ^ | 1/31/25 | Steven Nelson, Josh Christenson

[Libloather]

WASHINGTON — Americans who earn tips, overtime or Social Security benefits may not have to wait long for federal taxes on that income to end, the White House says.

President Trump wants all three of those major tax cuts to be included in a looming budget reconciliation bill that can pass with bare majorities in both the Republican-led House and Senate, press secretary Karoline Leavitt told reporters Friday.

“The president has made it very clear to our allies on Capitol Hill that is a critical piece of this reconciliation package,” Leavitt said in response to a question from The Post, confirming Trump’s wishes for all three to be included in the legislation.

The vehicle for the cuts had been unclear and congressional Republican leaders, including Senate Majority Leader John Thune (R-SD), had not specifically committed to a strategy for passing those three campaign-trail promises.

Although Trump, 78, campaigned on the policies, Republicans hold slim majorities in both chambers and can afford few defections from members potentially concerned about the impact on the federal deficit.

The budget reconciliation bill is expected to come in the first half of this year and it’s unclear whether legislators will impose income limits on beneficiaries.

It’s also unclear whether the provisions can pass muster with congressional parliamentarians, who have immense power to veto items that they deem non-germane to the budget.

Changes to the Social Security system — long regarded as a political “third rail” — are thought to be particularly vulnerable, sources tell The Post.

[RitchieAprile]

Add removing the RMD from IRAs too.

[Lurker]

That’s 10 people. Millions of regular folks get OT pay, too. Especially unionized people. They just happen to be a huge reason that Trump won.

L