Hospitality Workers Unaware of 'No Tax on Tips' Policy

Many servers and bartenders report bigger tax refunds this year but don't know the reason behind it.

Apr. 18, 2026 at 6:39pm

A photorealistic painting of a bartender wiping down the counter of an empty bar, the scene bathed in warm, diagonal sunlight and deep shadows, capturing a sense of melancholy and isolation.The quiet solitude of a bartender's workday reflects the disconnect between policy changes and public awareness in the hospitality industry.Today in Nashville

Hospitality workers across the country, including servers and bartenders, say they're seeing larger tax refunds this year compared to previous years. However, many of them were unaware of President Trump's 'No Tax On Tips' policy, which eliminated taxes on tips up to $25,000. Some workers attributed the refund increase to other factors like claiming dependents or overtime pay, but were surprised to learn about the 'No Tax On Tips' policy when informed.

Why it matters

The lack of awareness about the 'No Tax On Tips' policy among hospitality workers highlights a broader issue of political messaging and public engagement. If key policy changes are not effectively communicated to the people they directly impact, it undermines the intended benefits and raises questions about the government's ability to connect with working-class Americans.

The details

According to the report, hospitality workers across the country, including servers at Pearl Dive Oyster Bar in Washington, D.C. and bartenders, say they received larger tax refunds this year compared to last year. However, many of them were unaware of the 'No Tax On Tips' policy implemented by the Trump administration, which eliminated taxes on tips up to $25,000. Some workers attributed the refund increase to other factors like claiming dependents or overtime pay, but were surprised to learn about the 'No Tax On Tips' policy when informed.

  • In 2025, the average tax refund was a historic high of $3,274, which is 11% higher than the previous year.

The players

President Trump

The former president who implemented the 'No Tax On Tips' policy.

Kamala Harris

A former presidential candidate whose supporters in Nashville, Tennessee were unable to name her 'best policy' when interviewed.

Matt Walsh

A Daily Wire host who commented on the lack of awareness about world affairs among some young voters.

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What they’re saying

“Really? No, I did not know that.”

— Unnamed Waitress, Waitress at Pearl Dive Oyster Bar

“What? Oh my gosh.”

— Unnamed Bartender, Bartender

“Is that a good thing for us?”

— Unnamed Waitress, Waitress at Pearl Dive Oyster Bar

“I guess that's one good thing he did.”

— Unnamed Waitress, Waitress at Pearl Dive Oyster Bar

“Oh yes, I would definitely say that was it.”

— Unnamed Bartender, Bartender

What’s next

The Trump administration may need to focus on better communicating the 'No Tax On Tips' policy to the hospitality workers it directly benefits in order to ensure they are aware of and can take advantage of the tax savings.

The takeaway

This story highlights the challenge of effectively communicating policy changes to the public, especially among working-class Americans who may not closely follow political news. It raises questions about the government's ability to connect with and support the very people its policies are intended to help.