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Senate unanimously approves $25,000 tax break for tipped workers

May 21, 2025

The U.S. Senate has passed a new bill that would offer a tax deduction on tips worth up to $25,000. This bill, if enacted into law, would also extend to business tax credits for payroll taxes on tips in beauty and spa services. Sen. Ted Cruz, a Texas Republican, is pushing the proposal – which passed unanimously – an outcome considered rare for substantive legislation. NEW PROJECTION SIGNALS...

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