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Bill to exempt tips from state income taxes makes progress in Arizona House

Person's hand placing $20 bills on top of a bill in a restaurant check holder
Getty Images

A bill that would exempt tips from state income taxes is progressing through the Arizona House.

The GOP-backed bill mirrors a pitch from President Donald Trump, who has called for tips to be exempt from federal taxes.

Democrats like Rep. Quanta Crews voted against the measure, saying while the concept could be implemented, the legislation would cut state revenue.

"I think it is going in the right direction, and I also just want to make sure that if we do want to help these workers, perhaps there is a better method, perhaps raising their wage in general," Crews said.

Republicans say low-income workers would benefit the most.

More Arizona politics news

Greg Hahne started as a news intern at KJZZ in 2020 and returned as a field correspondent in 2021. He learned his love for radio by joining Arizona State University's Blaze Radio, where he worked on the production team.