In a surprising move, Sen. Jacky Rosen (D-NV) has endorsed a Republican bill to eliminate income tax on tips, a proposal championed by Donald Trump. This support marks a significant turnaround for Rosen, who had previously criticized the plan as mere political grandstanding. The bill, introduced by Sen. Ted Cruz (R-TX), is aimed at benefiting workers in Nevada’s hospitality industry who rely heavily on tips.
Rosen’s campaign initially dismissed Trump’s proposal, suggesting it was designed to favor the wealthy. However, the positive reception from Nevada’s tipped workers likely influenced her decision to co-sponsor the bill with Sen. Catherine Cortez Masto (D-NV). The proposal gained traction after Trump’s June announcement in Las Vegas, where hotel workers expressed strong support for the tax cut.
Despite this new backing, Rosen has faced backlash for her policy shift. Critics, including the National Republican Senatorial Committee, argue that her change of heart is politically motivated. They point out that Rosen’s previous stance seemed dismissive of the proposal’s potential benefits for everyday workers.
The Culinary Union, a powerful labor group in Nevada, also reversed its opposition following Rosen’s endorsement. Initially critical of the plan, the union now supports it, reflecting the complex political environment in the state where voter interests drive significant changes.
Rosen’s support for the tax exemption on tips highlights her effort to address the needs of her constituents. As she campaigns for re-election, this move could bolster her standing with Nevada’s workers. However, she must also contend with accusations of political opportunism and demonstrate her commitment to consistent and effective policy-making for the state’s benefit.
