Tax breaks in the 2025 reconciliation law
What they say
After his final vote on the 2025 reconciliation bill, he said it eliminates taxes on tips and overtime, expands the Child Tax Credit and enhances deductions for seniors.
“eliminating taxes on tips and overtime, expanding the Child Tax Credit, enhancing deductions for seniors”
What the record shows ·
He voted Aye on the final bill on July 3, 2025 (Roll Call 190), and it became Public Law 119-21. Workers can deduct up to $25,000 a year in tips and up to $12,500 in overtime pay ($25,000 on a joint return), counting only the part of overtime pay above their regular rate (sections 70201 and 70202). Both deductions shrink above $150,000 of income ($300,000 joint) and end after 2028. The Child Tax Credit rises from $2,000 to $2,200 per child (section 70104). People 65 and over get an extra $6,000 deduction through 2028, reduced above $75,000 of income, or $150,000 on a joint return (section 70103).
Limit: The tip and overtime breaks are capped deductions that end after 2028, so “eliminating” taxes on them overstates the law. The child credit and senior deduction are in the law as he says.