Democrats reintroduce no-tax-on-tips bill that would also end the sub-minimum wage

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Horsford and his Democratic co-sponsors chose Thursday to bring back the legislation because it was Feb. 13, or 2/13, a reference to the federal sub-minimum wage of $2.13 in use in about 15 states. In most states that allow use of a tip credit, the sub-minimum wage is higher.

And Horsford’s home state of Nevada is one of a handful that don’t allow a tip credit at all, so tipped workers there receive the full minimum wage, plus tips.

This year, the proposed legislation—which is championed by labor activists One Fair Wage and unions Local Culinary 226 and Amalgamated Transit Union—closes a “loophole” that could have allowed wealthy families to gift their fortunes too family members tax free by claiming it is a tip.

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