In a very rare move, the U.S. Senate unanimously agreed on something!
The Senate actually uses the ‘unanimous consent’ method of doing business all the time — but almost never for serious pieces of legislation.
The ‘consent’ of Senators for this particular piece of legislation was so strong that every single US Senator — all 100 of them — agreed without objection.
And a key piece of legislation tied to President Trump’s agenda just grew wings, and flew to the House, where it awaits its next hurdle.
President Trump announced during his campaign that he intended on doing away with federal income tax on tips.
Promise made, promise kept — at least as far as the Senate is concerned.
By UNANIMOUS CONSENT, the No Tax On Tips Act passed by a vote of 100-0.
BREAKING: The Senate has passed President Trumps “No Tax on Tips Act.” 100-0 vote.
Promises made. Promises Kept. pic.twitter.com/coG7S39b1b
— Benny Johnson (@bennyjohnson) May 20, 2025
Senator Ted Cruz was the primary driver of this version of the tax changes, introducing the legislation back in January.
The bill had 8 cosponsors; 2 Democrats, and 6 Republicans.
Cruz took to the Senate floor as the bill passed, praising the rare unity that lined up behind a bill that everyone knew was one of President Trump’s key campaign promises (even though Chuck Schumer tried to pretend that wasn’t true).
Here’s a clip of Sen. Cruz’ remarks upon the passage of the bill:
Senate UNANIMOUSLY Passes No Tax on Tips Act
The No Tax on Tips Act just passed in the Senate with a vote of 100-0. @SenTedCruz, who introduced the legislation, speaks on the unanimous vote:
“I commend Democrats and Republicans, even in a time of partisan division, coming… pic.twitter.com/lFuIEWi0AI
— The Daily Signal (@DailySignal) May 20, 2025
The bill would extend certain business tax credits, besides creating a tax deduction on tips up to $25,000 total per year.
Senator Jacky Rosen, a Democrat from Nevada who cosponsored the bill, noted that this legislation encapsulated one of President Trump’s big campaign promises.
But Rosen said she wasn’t afraid to ’embrace a good idea’, regardless of who came up with it, according to the New York Post:
The US 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.
Sen. Jacky Rosen, D-Nevada, pointed out during her floor speech that this bill was one of President Donald Trump’s key campaign promises.
“I am not afraid to embrace a good idea, wherever it comes from. So I agreed we need to get this done,” she said.
The passing of this bill through the Senate occurs as congressional Republicans attempt to seek advancement of a massive tax cut and spending package that will create a tax break on tips for the next four years.
The next step is the House of Representatives before it becomes law.
Now, the big question is whether or not the House still knows how to handle a stand-alone bill.
Or if this simple 6-page legislation will need to be made more complicated first — before Representatives will agree to look at it.
Senator Cruz appeared on Fox Business in January after introducing the legislation, and he shared a clip of that appearance on his X account upon the passage of the bill.
He does a great job explaining the bi-partisan and common-sense support for the President’s agenda in that clip:
I have introduced legislation to change the tax code for tipped wages.
My No Tax on Tips Act will boost workers in the service industry.
Republicans are the party of blue-collar workers. pic.twitter.com/olnvsE5UKj
— Senator Ted Cruz (@SenTedCruz) January 17, 2025
Here’s the full screen version of that video for convenience:
I have introduced legislation to change the tax code for tipped wages.
My No Tax on Tips Act will boost workers in the service industry.
Republicans are the party of blue-collar workers. pic.twitter.com/olnvsE5UKj
— Senator Ted Cruz (@SenTedCruz) January 17, 2025
House Representative Byron Donalds, who is currently running for the Governorship of Florida, said he helped draft Cruz’ bill back in the previous Senate.
He emphasized that the majority of the bill is a re-authorization of President Trump’s tax cuts from his first term during an appearance on Fox News with Maria Bartiromo to discuss the legislation back in January:
LISTEN IN: Rep. Byron Donalds discussed the “No Tax on Tips Act,” which he drafted in collaboration with Senator Ted Cruz. pic.twitter.com/LX3KDLIyrn
— Resist the Mainstream (@ResisttheMS) January 6, 2025
As you heard, he challenged that other portions of the President’s tax cuts could also be written as stand-alone bills.
Note to House leadership: stop making it so complicated!
The new deductions would apply to cash tips that meet certain requirements, as the breakdown of the legislation was reported in Newsweek:
The No Tax on Tips Act would introduce a new tax deduction of up to $25,000 for tips, with certain restrictions.
ADVERTISEMENTIt was introduced in January by Texas Senator Ted Cruz, along with a bipartisan group of co-sponsors, including Nevada Democratic Senator Jacky Rosen. Republicans permitted Rosen to advance the bill through a unanimous consent agreement—a procedure that allows any senator to request passage of legislation on the Senate floor, provided no other senator objects.
The new tip deduction applies only to cash tips that meet both of the following conditions:
1. The tips are received by employees working in occupations where tipping is customary.
2. The tips are reported to the employer for payroll tax withholding purposes. (Under current law, employees must report tips totaling more than $20 per month to their employer.)
Employees whose annual pay exceeds a specified threshold in the previous tax year—$160,000 in 2025, adjusted annually for inflation—are not eligible to claim the new tip deduction.
Senator Ted Cruz said on the Senate floor: “Whether it passes free-standing or as part of the bigger bill, one way or another, ‘No Tax on Tips’ is going to become law and give real relief to hardworking Americans. So I’m proud of what the Senate just did, and I commend Democrats and Republicans, even at a time of partisan division, coming together and agreeing on this commonsense policy.”
Senate Minority Leader Chuck Schumer said in a statement seen by NBC News: “Working Americans—from servers, to bartenders, delivery drivers, and everything in between—work hard for every dollar they earn and are the ones who deserve tax relief, not the ultra-rich. While President Trump and Republicans push tax breaks for billionaires and stick the middle class with the bill, Senate Democrats are standing strong to protect America’s working families.”
As the President wraps up what seems like week after week of monumental successes, this one should stand out.
It’s not every day that the Senate AGREES on a core tenet of a President’s campaign.
Even taking in to consideration the Senate Democrat’s attempt to pretend this was their focus all along (then why didn’t they DO it themselves when they had the chance?) — the fact is, they couldn’t be seen going AGAINST the President on this issue.
It was too common-sense, and too important for too many families.
Here’s a clip of President Trump emphasizing his intention to make NO TAX ON TIPS a reality…
And giving the backstory for where the idea came from.
(This is great — trust me!)
Did we just watch the President force Senate Democrats to take action on something they pretend to care about, but never do anything about?
That’s just as much of a win as the bill itself!
Now… do SALES TAX!
This is a Guest Post from our friends over at WLTReport.
View the original article here.
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