Do 30 million Americans claim Trump’s “overtime tips are not taxable”? Bessant reveals details

Bessant, speaking at an event with small business owners in New York’s Hudson Valley, said the situation points to increasing use of provisions rolled out in the government’s flagship tax code.

According to the New York Post, Bessent said that 5.7 million taxpayers have claimed the “tip exemption” deduction, while 23 million taxpayers have claimed the “overtime exemption” benefit.

“That’s the biggest one,” Bessant said of the overtime provision.

The total is nearly 30 million, up from about 24.6 million previously reported and a sign that more Americans are choosing to take the deduction as filing season winds down.

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These deductions allow eligible workers to exclude certain tip income and overtime income. taxable incomeeffectively increasing take-home wages.

Raj Aman, who runs a bar in Yorktown, said the policy helps attract workers. “Three years ago, I couldn’t find any servers or bartenders,” he said, adding that hiring has increased significantly as more people seek tax-deductible tip income.

Bartender Claire Kerrigan said the deductions allow her to spend more freely. “It’s been a really big help,” she said, noting that she no longer has to set aside as much money for taxes.

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Local official Brundle Logan-Charles, a Democrat, also praised the policy, calling it a “wake-up call” for her party and thanked lawmakers for pushing for the changes.

Bessent added that businesses have already benefited from approximately $100 billion in additional deductions, which he said could support job creation across the country.

While early data suggests high adoption rates, the full economic impact of the tax break may become clearer after this filing season ends.