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Nevada Clash Deepens Over ‘No Tax on Tips’ as Democrats Push Changes and GOP Claims Credit

The OBBB provision creates a deduction of up to $25,000 on tipped income that expires in 2028.

Overview

  • Nevada’s Democratic delegation asked Treasury in August to clarify how the policy will apply to auto‑gratuities, joint returns with one Social Security filer, and a broad range of tipped occupations.
  • DCCC spokesperson Lindsay Reilly labeled the benefit “temporary crumbs,” triggering Republican backlash and calls for Reps. Dina Titus, Susie Lee, and Steven Horsford to repudiate the comment.
  • Rep. Steven Horsford is promoting his TIPS Act to make tax relief on tips permanent and broader, arguing the GOP-backed approach is capped and inadequate.
  • Republican Rep. Mark Amodei has spotlighted the OBBB provision in Nevada events and statements, describing it as tangible relief for working families.
  • With more than 5% of Nevada’s workforce earning tips, the policy has become a central campaign issue ahead of the state’s 2026 House elections.