OBBBA Eliminates Taxes on Qualified Tips and Overtime Compensation
On July 4, 2025, President Donald Trump signed a tax and spending bill, commonly referred to as the One Big Beautiful Bill Act (OBBBA), into law. Among other provisions, the OBBBA would allow certain workers an above-the-line deduction for “qualified tips” and “qualified overtime compensation” for taxable years beginning after Dec. 31, 2024, and expiring…
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