tax on tips, House
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Ohio workers could avoid state and local taxes on their tips under a bill introduced by a Republican lawmaker. House Bill 209 would exempt tips from state and local income taxes, regardless of how much the person makes.
Nixing income taxes was one of President Donald Trump's top policy promises during his 2024 election campaign.
Abir Mandal, a senior policy analyst at the Tax Foundation, wrote in an April blog post he the no tax on tips change on the grounds that it “ undermines economic fairness ” because non-tipped workers wouldn’t get any tax break. Other concerns include the possibility that Americans would start tipping less if the deduction goes into effect.