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Trump 'died' Nevada Republican Senate candidate Sam Brown by proposing to eliminate taxes on tips

Trump 'died' Nevada Republican Senate candidate Sam Brown by proposing to eliminate taxes on tips
Trump 'died' Nevada Republican Senate candidate Sam Brown by proposing to eliminate taxes on tips


Amid talk of electrocutions and sharks at a steamy outdoor rally in Las Vegas this weekend, former President Donald Trump made a new policy announcement with significant implications in a state with a huge service sector: get rid of taxes on tips.

Some Democrats were quick to dismiss it as a far-fetched and unattainable promise from Trump. And the powerful Culinary Workers Union, which represents tens of thousands of hotel and hospitality workers, described the former president as a recent Johnny in a decades-long fight.

But it appears Trump has chosen an issue that could quickly resonate in a high-profile Senate race getting underway in this battleground state.

Sam Brown, who won the Republican nomination Tuesday and will replace outgoing Democratic Sen. Jacky Rosen, said in an interview that he had planned to unveil the same proposal during his general election campaign until Trump wins.

It was actually a policy idea that my team had kind of developed that we were planning to implement in the general election, Brown told NBC News. So, in a sense, President Trump has caught up with us and got ahead of us. But this is something that was completely overdue. These tips are not guaranteed income, people work hard to earn them.

Brown, who also called Trump a visionary for addressing the issue, attacked Democrats more broadly on the economy, one of the issues Republicans say will be most important in Nevada. In Las Vegas, leisure and hospitality jobs account for more than a quarter of employment.

Sam Brown won the Republican Senate primary in Nevada on Tuesday.Alex Tabet/NBC News

In states like this, where we have a strong service-based economy, it makes a lot of sense, Brown said of the proposal for no taxes on tips. And I wonder why Jacky Rosen hasn't talked about it and isn't a champion in this area.

Rosens campaign spokeswoman Johanna Warshaw fired back at Brown, calling the promise a diversion from what the campaign said was a tax program that would hurt the working class.

Nevada workers know they cannot rely on the empty rhetoric of self-serving politicians like Sam Brown who try to hide their real agenda of giving more tax breaks to billionaires and corporate special interests, Warshaw said in a statement. Jacky Rosen supports lower taxes for tipped workers and all workers in Nevada, which is why she has fought for years to provide tax breaks and pass an across-the-board tax cut for the class average while reducing costs and increasing the minimum wage.

The back-and-forth unfolded as what is expected to be one of the most competitive races in the country was officially underway following Tuesday's primary election in which Brown won the Republican nomination in a crowded field. Early polls showed President Joe Biden struggling in Nevada and Rosen narrowly leading Brown in a hypothetical matchup.

Brown picked up Trump's support in the primary during his weekend rally in the state.

Ted Pappageorge, secretary-treasurer of the Culinary Workers Union, which aligned with Democrats, said Rosen and the rest of the Nevada delegation had been closely involved in negotiations with the IRS to try to control tax rates. taxation of tips.

The question is who is really supporting workers and defending them for years and years? said Pappageorge. It is certainly not President Trump and these Republicans who are missing in the fight.

Pappageorge called Trump's promise meaningless, saying courts have ruled that tips are income, but the battle has been over the fair taxation of those who earn tips. He criticized Trump for never taking action during his four years as president, but also acknowledged that no movement had occurred under the Biden administration either.

This is an issue that we have been emphasizing with our Nevada delegation. This is a Nevada problem, okay? he said. He noted that the late Democratic Senator Harry Reid supported us on this issue. Senator Cortez Masto, Senator Rosen and also a member of Congress [Steven] Horsford has been extremely active in pushing back. And there is still work to do.

The Trump campaign did not provide details about the proposal except that President Trump will ask Congress to eliminate taxes on tips, according to spokeswoman Karoline Leavitt. Joe Biden has aggressively stepped up with the IRS to go after tipped workers.

Last year, the IRS announced a program to encourage voluntary compliance with tip reporting, which Republicans were quick to criticize. The Biden campaign did not respond to a request for comment on a proposal for no taxes on tips.

Natasha Korecki

Shannon Pettypiece contributed.




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