Biden and Harris Align on Eliminating Taxes for Service Workers

U.S. President Joe Biden supports eliminating taxes on tips for service and hospitality workers, aligning with a proposal by Vice President Kamala Harris. This policy, similar to Donald Trump's stance, aims to win over the service sector's influential voter base, albeit raising concerns about budget deficits.

U.S. President Joe Biden has expressed support for eliminating taxes on tips for service and hospitality workers, the White House announced Monday. White House spokesperson Karine Jean-Pierre confirmed Biden's endorsement should such legislation pass through Congress.

The announcement follows a statement by Vice President Kamala Harris, the Democratic presidential candidate, who declared her support for a similar initiative in Nevada on Saturday. This alignment with her rival Donald Trump's stance is seen as an effort to gain the favor of Nevada's politically significant service worker constituency ahead of the 2024 election.

While the policy marks a rare bipartisan agreement, experts from the Committee for a Responsible Federal Budget estimate it could increase deficits by $100 billion to $200 billion over the next decade. With 2.2 million Americans working as wait staff in 2022, according to Labor Department data, the prospective measure has far-reaching implications. Trump has criticized Harris for allegedly copying his policy for political gains. Harris's campaign clarified that her proposal would necessitate legislative action and include strict measures to prevent misuse.

(With inputs from agencies.)