Congress approves major tax cuts and tip exemptions in Trump's bill

Congress approved a bill allowing tipped workers in the U.S. to deduct up to $25,000 in tips from taxable income annually, with tips above that amount being taxed, and this provision is temporary until 2028. The law aims to benefit middle and upper-middle income workers, but critics argue it is regressive and could lead to higher costs for some consumers. Workers are advised to wait for IRS guidance to adjust their tax withholdings accordingly.