FOR IMMEDIATE RELEASE:
Wednesday, April 1, 2026
MEDIA CONTACT:
Bethany Khan: bkhan@culinaryunion226.org ▪ (702) 387-7088
Culinary Union hosted meeting with Congressman Steven Horsford and hundreds of tipped hospitality workers as fight continues for a permanent No Taxes on Tips policy
Las Vegas, NV – On Tuesday, March 31st, the Culinary Union brought together hundreds of tipped hospitality workers at its headquarters for a special No Taxes on Tips meeting with Congressman Steven Horsford and Assemblymember Linda Hunt. During the meeting, Shop Stewards reviewed the new No Taxes on Tips law and tip deduction, discussed what it means for workers ahead of the tax filing deadline, and heard directly from Congressman Horsford about his Tipped Income Protection and Improvement Act. Ahead of Tax Day April 15th, Culinary Union has hosted two events that brought together hundreds of Shop Stewards and tipped earner union members.
“For decades, the Culinary Union has led the fight to protect tipped workers. From banning sub‑minimum wages in Nevada to taking on the IRS over unfair tip allocations - no one fights and wins more. In the last year alone, we won $22 million in grievances for Culinary Union members and over the last decade, we’ve won more than $40 million in grievance victories. We’ve done it while fighting the IRS in a way no one else does, by organizing tipped hospitality workers and having political leaders like Congressman Steven Horsford with us at the table,” said Ted Pappageorge, Secretary-Treasurer for the Culinary Union. “Right now, Las Vegas is facing a real crisis in travel and tourism. The Trump Slump is real and it’s here. Last year visitation in Las Vegas was down 8%, while nationally it was down over 6% at a time when every other major country saw increases. When tourism slumps, Culinary Union members feel it first with less hours, schedule reductions for part‑timers, and layoffs in tipped jobs. At the same time, the so‑called ‘No Taxes On Tips’ changes are temporary and deeply flawed: They penalize married tip earners, exclude many automatic gratuities, and give permanent tax cuts to billionaires while workers get short‑term relief. That’s why we’re gearing up for the fight. We’re pushing back on bad IRS policies, demanding real transparency and fair rates, organizing tipped earners, talking to political leaders, and running our own members for office - so the working families who power this city have a real voice and a future where they can thrive.”
“Tipped workers deserve real fairness, not slogans. Right now there is a deduction of up to $25,000 in tipped income for those who qualify, and workers should use it because it’s their money, but it is not permanent. It expires in just a few years, while the tax breaks for billionaires and big corporations in that same big, ugly bill were written to last. That’s not right. This provision was marketed as relief for working people, but it leaves gaps big enough to drive a truck through - from the marriage penalty, to excluding mixed‑status families, to uncertainty around automatic gratuities,” said Congressman Steven Horsford (NV-04) and a member of the House Ways and Means Committee. “That’s why, after talking directly with the Culinary Union and tipped hospitality workers here in Las Vegas about how these changes hit their paychecks, I introduced the TIP Improvement Act. My bill would make this relief permanent, fix the marriage penalty so families aren’t punished for filing together, allow the use of a verified taxpayer identification number so immigrant workers aren’t excluded, clarify that this deduction belongs to workers, not employers, and protect automatic gratuities. It also confronts the outdated federal sub‑minimum wage, because tips should never substitute for a real wage. We’re going to keep fighting until this relief is permanent, fair, and truly built around the workers who earn tips every single day.”
“The current ‘No Taxes on Tips’ policy is a step in the right direction, but it doesn’t really do what we need it to do. It leaves out banquet and restaurant workers who have buyouts, doesn’t account for commissions, and creates an unfair situation for married couples by forcing them to share the $25,000 deduction - and if they file separately, neither can claim anything,” said Assemblywoman Linda Hunt (AD 17), a 47-year Culinary Union member and Shop Steward who is a food server in Downtown Las Vegas. “That’s why I support the approach taken by Congressman Steven Horsford. His bill increases the claim amount to $100,000 and removes those marriage loopholes, making it more fair and more inclusive for working people. As a tip earner for over 40 years, I know how important tips are to taking care of our families, especially when everything is so expensive right now. Tip earners deserve to keep all of their tips, not just some.”
“I rely on my tips, but this past year has been the worst year for tips that I’ve ever had,” said Joe Spica, a Culinary Union member for 15 years and Shop Steward who works as a bellman on the Las Vegas Strip. “Occupancy and our tips are way down. We’re in a tourism slump and that has to change. That’s why I support Congressman Steven Horsford. He has fought the IRS to lower our compliance rates and continues to be a real champion for tipped workers. We need political leaders like him and more workers like us, in office so we have a strong voice in government to stand up for working families and make sure tipped earners can keep more of what we make.”
For over 30 years, the Culinary Union has fought for fair wages, defeated efforts to implement a sub-minimum wage in Nevada (and six other states), and advocated for fair taxation on tips for hundreds of thousands of workers in Nevada. Now, it’s time for the entire nation to follow Nevada’s lead to eliminate the sub-minimum wage, ensure that workers receive a fair wage, and end taxes on tips (permanently) so one job is enough for workers to support their families.
The Culinary Union applauds Congressman Steven Horsford for his leadership by introducing the Tipped Income Protection and Improvement Act, in response to Culinary Union requests to implement fixes to the current “No Tax on Tip Policy,” and urges its swift passage in Congress.
The Tipped Income Protection Improvement Act would do the following:
*Eliminates the federal tipped minimum wage.
*Increases the deduction cap from $25,000 to $50,000 for joint returns.
*Requires the taxpayer (or at least one spouse on a joint return) to include a Taxpayer Identification Number (TIN) to claim the deduction instead of a Social Security Number.
*Adds safeguards to prevent misuse (such as tips must be paid by a person who is not related to the individual and the individual may not have an ownership stake in the business that employs them for the tipped position).
*Treats automatic gratuities as qualified tips for individuals working in hospitality, food and beverage service, and cosmetology if the amount would otherwise qualify as a tip, if it is a mandatory or suggested charge under a uniform employer policy, and the full amount is received by the employee or distributed through lawful tip pooling under state or local law.
*Removes the current December 31, 2028, sunset and makes the deduction permanent.
*Applies to taxable years beginning after December 31, 2025.
The TIP Improvement Act that Congressman Horsford is championing will uplift millions of workers, including many in Nevada, by eliminating federal income taxes on tips and ending the federal sub-minimum wage for tipped workers. In 43 states, tipped workers can still be paid as little as $2.13 an hour before tips, leaving millions of families at risk. Culinary Union believes that permanently making tips tax-free, ending the sub-minimum wage, and cracking down on corporate price gouging on groceries, gas, utility bills, and housing must all be part of a comprehensive program that elected leaders take regarding the high cost of living working families face.
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ABOUT CULINARY UNION:
Culinary Workers Union Local 226 and Bartenders Union Local 165, Nevada affiliates of UNITE HERE, represent 60,000 workers in Las Vegas and Reno, including at most of the casino resorts on the Las Vegas Strip and in Downtown Las Vegas. UNITE HERE represents 300,000 workers in gaming, hotel, and food service industries in North America.
The Culinary Union, through the Culinary Health Fund, is one of the largest healthcare consumers in the state. The Culinary Health Fund is sponsored by the Culinary Union and Las Vegas-area employers. It provides health insurance coverage for over 120,000 Nevadans, the Culinary Union’s members, and their dependents.
The Culinary Union is Nevada’s largest Latino/a, Black, AAPI, immigrant organization with members who come from 178 countries and speak over 40 different languages. We are proud to have helped over 18,000 immigrants become American citizens and new voters since 2001 through our affiliate, The Citizenship Project.
The Culinary Union has a diverse membership which is 55% women and 60% immigrants. The demographics of Culinary Union members are approximately: 54% Latino/a, 18% white, 15% Asian, 12% Black, and less than 1% Indigenous Peoples.
Culinary Union members work as: Guest room attendants, cocktail and food servers, porters, bellmen, cooks, bartenders, laundry, and kitchen workers. The Culinary Union has been fighting and winning for working families in Nevada for 90 years.
CulinaryUnion226.org / @Culinary226
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