No tax on tips: Why politicians love it, and economists don't

Republican vice presidential candidate Sen. JD Vance, R-Ohio, signs the check "no tax on tips!!' as he leaves $200 in cash for a gratuity at the Park Diner, Sunday, July 28, 2024, in Waite Park, Minn. (AP Photo/Alex Brandon)

Vice President Harris and former President Donald Trump don’t agree on much — especially when it comes to economic policy. But they both want to get rid of taxes on tips.

At a campaign rally in Nevada, Harris joined Trump in supporting tax-free tips.

“It is my promise to everyone here, when I am president, we will continue to fight for working families, including to raise the minimum wage and eliminate taxes on tips for service and hospitality workers,” Harris told a crowd at the University of Nevada in Las Vegas on Saturday.