8/22/2025

MADISON - Wisconsin Republicans are continuing efforts to eliminate state income tax on tips, mirroring federal legislation.  If passed, the bill would allow up to $25,000 in tips to be deducted from state income tax returns for individuals earning less than $150,000.  Several hospitality industry leaders and managers support the bill.  No Wisconsin Democrat has publicly stated a position on the bill.  The legislation must pass the Assembly Committee on Ways and Means before advancing to a floor vote.  According to the Wisconsin Department of Revenue, the state would lose an estimated $33.7 million in annual tax revenue if the bill is enacted.