Presidential candidates from both major parties are proposing the elimination of taxes on tips. While this might sound appealing to tipped workers, economists and tax experts have significant concerns about its potential impact on fairness, tax avoidance, and overall revenue generation.
Both Donald Trump and Kamala Harris support eliminating taxes on tips.
Economists and tax experts express concerns about fairness and potential for abuse.
The proposal raises questions about who would benefit and how to prevent tax avoidance.
Both major party presidential nominees Donald Trump and Kamala Harris are on the same side of one issue. Getting rid of taxes on tips. But what would that really look like in practice? Wailin Wong and Darian Woods from NPR's daily economics podcast, The Indicator), dive into the potential guardrails for a policy that many economists believe could easily go off track. For sponsor-free episodes of Consider This, sign up for Consider This+ via Apple Podcasts or at plus.npr.org).Email us at [email protected]).Learn more about sponsor message choices: podcastchoices.com/adchoices)NPR Privacy Policy)