Commentary

Content Creators Among Professions Set To Benefit From Trump’s ‘No Tax On Tips’ Policy

Published on September 4, 2025

Digital content creators and influencers are included among the 68 occupations eligible for President Donald Trump’s “No Tax on Tips” policy, according to multiple reports citing a draft list from the Treasury Department. The provision, signed into law in July as part of a larger spending bill, allows service professionals to deduct up to $25,000 in tips from their federal income taxes.

The policy applies to workers “in an occupation which customarily and regularly receives tips on or before December 31, 2024.” The deduction can be taken in addition to the standard deduction, which is $15,750 for single filers in 2025.

The Treasury Department divides eligible occupations into eight categories, with digital content creators falling under “Entertainment & Events.” This category also includes musicians, performers, disc jockeys, and gambling dealers.

Other notable groups benefiting from the deduction include rideshare drivers, food delivery workers, massage therapists, home service providers, and personal care workers.

Income Limitations and Implementation

The deduction begins to phase out for workers earning more than $150,000 per year. For each $1,000 earned above this threshold, the deduction amount decreases by $100.

Questions remain about implementation details, including what constitutes a “tip” in the context of digital platforms. The law specifies that eligible tips must be “paid voluntarily without any consequence in the event of nonpayment” and are “determined by the payor.” Precise definitions and reporting rules are still under Treasury review.

The Congressional Budget Office estimates the policy will cost the federal government approximately $40 billion through 2028, when the temporary provision is set to expire.

While eligible workers can avoid federal taxes on qualifying tip income, Forbes reports workers will likely still owe state taxes in states that have an income tax. The Yale University Budget Lab estimates that about 4 million Americans worked in tipped occupations as of 2023, representing approximately 2.5% of U.S. employment.

The deduction will be available starting with tax returns filed in 2026 for the 2025 tax year.