California Democrats Refuse 'No Tax on Tips' Bill - Newsweek
Category: News & Politics
Via: texan1211 • 4 months ago • 37 commentsBy: Giulia Carbonaro (Newsweek)
S E E D E D C O N T E N T
CLOSE X By Giulia Carbonaro US News ReporterFOLLOW
California Democrats killed a Republican proposal to end the state's tax on tips for service workers last week, despite the Democratic presidential nominee, Vice President Kamala Harris, pledging to do the same at the national level should she be elected.
The idea to end federal taxes on tips was originally proposed by former President Donald Trump, the Republican nominee, in June during a rally in Las Vegas, Nevada, where he told service workers that he was going to do that "right away first thing in office because it's been a point of contention for years and years."
Last month, Harris announced the same proposal, capitalizing on the bipartisan support that ending tax on tips seems to have among voters. According to a poll for Newsweek conducted before Harris' announcement, 67 percent of Americans believe that tips given to service workers should not be taxed. The number went up to 68 percent among Republicans and down to 65 percent among Democrats.
An amendment advanced by California Senate Republicans that would have exempted hospitality and service industry workers in the state from being taxed on their tips was "summarily killed" by Democrats on Thursday "without discussion or debate," California State Republicans wrote on their website on August 29. August 31 was the final day of the legislative session for 2024.
"It is deeply disappointing that the Legislature chose not to consider a proposal that could have provided much-needed relief to California's workers," state Senator Rosilicie Ochoa Bogh, who introduced the proposal on the same day, said in a press release.
"The negligence involved in a refusal to even debate a policy issue of this magnitude cannot be overstated," said state Senate Minority Leader Brian W. Jones.
"Legislative Democrats knew they were on the wrong side of this important issue, so they chose to sweep it under the rug rather than do the right thing for working Californians," he added. "The push to eliminate the federal tip tax has made its way to the campaign stage for both major parties this year, yet California Democrat politicians don't believe it be even worthy to discuss at the state level for residents here."
Newsweek contacted the California Democratic Party and the California Senate Republicans for comment by email on Tuesday morning.
Conservative news website The Center Square reported that all Democrats in the California Senate voted to put aside the amendment with the exception of Senate President Pro Tempore Senator Mike McGuire and Senator Nancy Skinner, who abstained. All nine Republicans voted for the measure.
Newsweek contacted McGuire for comment by phone on Tuesday morning.
California State Democrats have not issued a press release explaining why they voted not to discuss the Republicans' proposal to end tax on tips in the state.
In June, the state Legislature approved a budget that slashed spending and temporarily raised taxes on some businesses to close a budget shortfall that's estimated to reach $46.8 billion. As a result of the deficit, the Legislature has had to pass on implementing progressive measures. For example, California Democrats agreed earlier this year to delay a minimum wage increase for health care workers, promised for this summer, to January 2025.
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It’s cool. I’m just gonna stop tipping. Food prices are going through the sky as minimum wage for some hits $20/hour. $20 an hour to fuck up your order. And then they want a tip. It’s ridiculous.
I want a law that prohibits credit card scanners from even asking me for a tip. And if there were a way we could just outlaw tips, I would probably support it. I bought my wife and I some pretzels yesterday. It took maybe 10 seconds for this kid to grab two pretzels with his tongs and put them in a paper bag. Then they want a tip. For what? Doing the easiest job in the world?
Around here, credit/debit cards with tip scans never go to the wait staff. It goes to the establishment Not sure what they do with it but I know the tip part of the bill never shows up on my bank statement. My wife and I have decided to always tip in cash now.
I dont think people making 20 dollars an hour should be tipped, but a 12.00 an hour they probably need help.
Find a second or better job.
If everyone finds a "better" job who will make your Whopper ?
Entry-level new college students for one. How about seniors who could use a supplement as well as something of some importance to do? That is what they are for to begin with.
I dont think many seniors would find working as a cashier at a McDonalds is "important" for them to do.
If they would like to stay in contact with the outside world, it would be an avenue. My uncle worked sacking groceries when he retired to do just that. He sure as hell didn't need the money after 35 years at GM as a Union Steward.
There are certain times I will not tip:
Any other time the quality of the service and food will determine if I tip.
Me also.
totally fair.
California has a billion dollar deficit they need to make up for. I'm surprised they haven't started taxing more.
Leave nothing untaxed seems to be the state motto, and even with that, they can't balance the state budget.
Why should any ordinary income go unrecognized? The IRS wants to know all about a camera I sell, at a loss, on eBay, that I lost the cost documentation for long ago, yet some segment wants to be paid in Menendezmoney?
Don't want to give workers a little break on tip money but give $150,00 to illegals for a house, California has priorities mixed up
The idea to end federal taxes on tips was originally proposed by former President Donald Trump, the Republican nominee, in June during a rally in Las Vegas, Nevada, where he told service workers that he was going to do that "right away first thing in office because it's been a point of contention for years and years."
Instead of doing something to benefit minimum wage workers his first time in office, he gave away billions to millionaires and billionaires in return for exploding our national debt. Yeah, trust that guy.