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Published: Feb 13, 2026 12:49 p.m. EST 5 min read
Photo-illustration of a pastry chef decorating a cake
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What do restaurant servers, rideshare drivers, influencers and dog walkers all have in common? For the next four years, they likely won’t owe federal taxes on their tip income.

When Congress passed the One Big Beautiful Bill Act in July, it didn't specify which jobs would qualify for the "no tax on tips" deduction. Instead, lawmakers directed the U.S. Treasury Department to determine which occupations count as "tipped."

To meet the requirement, the Treasury Department released a preliminary list in September identifying 68 occupations that could be eligible for the deduction. At the time, Treasury Secretary Scott Bessent told Axios he believed the list of eligible occupations was "expansive but fair."

The IRS and Treasury Department later published the list in the Federal Register, inviting public comment through Oct. 23. The final version remains consistent with the preliminary list, and no revisions have been announced since the public comment period closed. This article reflects the most current information available.

For those who qualify, the measure eliminates federal income taxes on cash tips for millions of workers in tip-heavy industries. In 2023, about 4 million workers — roughly 2.5% of the U.S. workforce — worked in tipped occupations, according to the Yale Budget Lab.

The tax break applies only to the 2025–2028 tax years. During that period, eligible workers earning up to $150,000 a year — or $300,000 for joint filers — can exclude up to $25,000 in tips from federal taxes, with income thresholds indexed to inflation. However, some analysts have expressed doubt over just how helpful the policy will be, given that 37% of tipped workers don't earn enough to owe any federal taxes in the first place.

Need to file your taxes? See how you can maximize your refund this year with TurboTax.

Who qualifies for the "no tax on tips" deduction?

Here's who qualifies for Trump's "no tax on tips" policy, broken down into eight industries:

1. Beverage and food service

  • Bartenders
  • Wait staff
  • Food servers, non-restaurant
  • Dining room and cafeteria attendants and bartender helpers
  • Chefs and cooks
  • Food preparation workers
  • Fast food and counter workers
  • Dishwashers
  • Host staff, restaurant, lounge and coffee shop
  • Bakers

2. Entertainment and events

  • Gambling dealers
  • Gambling change persons and booth cashiers
  • Gambling cage workers
  • Gambling and sports book writers and runners
  • Dancers
  • Musicians and singers
  • Disc jockeys, except radio
  • Entertainers and performers
  • Digital content creators
  • Ushers, lobby attendants and ticket takers
  • Locker room, coatroom and dressing room attendants

3. Hospitality and guest services

  • Baggage porters and bellhops
  • Concierges
  • Hotel, motel and resort desk clerks
  • Maids and housekeeping cleaners
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4. Home services

  • Home maintenance and repair workers
  • Home landscaping and groundskeeping workers
  • Home electricians
  • Home plumbers
  • Home heating and air conditioning mechanics and installers
  • Home appliance installers and repairers
  • Home cleaning service workers
  • Locksmiths
  • Roadside assistance workers

5. Personal services

  • Personal care and service workers
  • Private event planners
  • Private event and portrait photographers
  • Private event videographers
  • Event officiants
  • Pet caretakers
  • Tutors
  • Nannies and babysitters

6. Personal appearance and wellness

  • Skincare specialists
  • Massage therapists
  • Barbers, hairdressers, hairstylists and cosmetologists
  • Shampooers
  • Manicurists and pedicurists
  • Makeup artists
  • Exercise trainers and group fitness instructors
  • Tattoo artists and piercers
  • Tailors
  • Shoe and leather workers and repairers
  • Eyebrow threading and waxing technicians

7. Recreation and instruction

  • Golf caddies
  • Self-enrichment teachers
  • Sports and recreation instructors
  • Tour guides
  • Travel guides
  • Recreational tour pilots

8. Transportation and delivery

  • Parking and valet attendants
  • Taxi and rideshare drivers and chauffeurs
  • Shuttle drivers
  • Goods delivery people
  • Personal vehicle and equipment cleaners
  • Private and charter bus drivers
  • Water taxi operators and charter boat workers
  • Rickshaw, pedicab and carriage drivers
  • Home movers

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