Trump has reaffirmed his promise to eliminate tipping taxes in the U.S.

On Saturday, January 25, U.S. President Donald Trump held a rally in Nevada. Speaking in Las Vegas, a city dominated by the hospitality and service industry, he reiterated his promise to eliminate taxes on tip income.

This was reported by RBK-Ukraine citing Bloomberg.

"We will ensure this for you. So, if you are a restaurant worker, waiter, valet, porter, bartender, one of my caddies, or any other employee who receives tips - your tips will be 100% yours," Trump stated.

As Bloomberg writes, this proposal is one of many tax initiatives on which the newly elected U.S. president built his campaign. He also proposed ideas to lower the corporate tax rate, eliminate taxes on social security payments, exempt overtime pay from taxes, and increase the maximum amount of tax deductions for states and local governments.

"And all of this is in addition to extending the benefits from his landmark package enacted in 2017," the publication added.

Donald Trump claims that his tax changes will pay off by stimulating U.S. economic growth, and that his promise to impose comprehensive tariffs on foreign goods will generate additional revenue.

At the same time, the U.S. president's tax program comes with a high price tag - extending expiring tax benefits will cost $4.6 trillion - and lawmakers will likely face a difficult choice as they seek to approve a broad tax package.

It is worth noting that about a week ago, Trump's nominee for the position of U.S. Treasury Secretary, Scott Bessent, stated that the country could face an economic disaster and a historic tax increase.

According to him, the U.S. is facing economic calamity if the extensive tax cuts for individuals and businesses are not extended by the end of 2025.