Nearly 30 million Americans have claimed benefits under former President Donald Trump’s “No Tax on Tips” and “No Tax on Overtime” provisions, according to US Treasury Secretary Scott Bessent, who shared updated figures ahead of the April 15 tax filing deadline.
Speaking at an event with local business owners, Bessent clarified that the figure is not a blanket claim but a combined total of taxpayers availing two separate deductions. Around 5.7 million Americans filed for the “No Tax on Tips” benefit, while approximately 23 million claimed deductions related to overtime pay, bringing the total close to 30 million.
The tax breaks were introduced as part of a broader economic package under Trump’s administration, aimed at increasing take-home income for workers. The provisions allow eligible individuals to deduct certain tipped earnings and overtime wages from their taxable income, though they do not entirely eliminate taxes in all cases and are subject to caps and eligibility criteria.
Also Read: North Korea Hosts China's Wang Yi After Missile Tests as Trump Plans Mid-May Beijing Trip
Officials have described the overtime deduction as the more widely used provision, with Bessent calling it the “biggest one” in terms of uptake. Early data also suggested a sharp rise in participation as the tax season progressed, with millions more filings recorded compared to earlier estimates.
However, experts have raised concerns about potential confusion and misuse. Reports indicate that the complexity of eligibility rules — particularly around what qualifies as overtime under federal law — may have led to incorrect or excessive claims by some taxpayers.
The development has sparked debate over the effectiveness and long-term fiscal impact of the policy. While supporters argue that the deductions boost worker income and encourage employment, critics warn of possible revenue losses and administrative challenges. As tax authorities continue to review filings, the final scale and accuracy of claims are expected to become clearer in the coming months.
Also Read: Trump Draws a Red Line Before Iran Talks: No Nuclear Weapon, No Deal