Trump says he has signed a tax bill ending levies on tips, overtime and Social Security
The provisions he describes match a law he signed in July 2025, according to Ogletree Deakins and Fox Business.
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UpdateMonday, October 19, 2026 at 9:22 PM ET
Trump also said on Truth Social that his administration has ended the estate tax and set the highest biofuel production targets in history, a move he said would create $4 billion in new farm income. He said Kansas has received a waiver to sell E-15 fuel year-round, and that he will work with Senator Roger Marshall to make year-round E-15 sales permanent nationwide.
Donald Trump said in a Truth Social post that he signed a Republican-backed tax bill he called the largest tax cut in American history. He said it ends federal tax on tips, on overtime pay and on Social Security benefits for seniors.
The provisions he listed match the One Big Beautiful Bill Act, which Trump signed into law on July 4, 2025, according to the law firm Ogletree Deakins and Fox Business. That law let workers deduct up to $25,000 of tip income and $12,500 of overtime income, or $25,000 for joint filers, with the deduction phasing out above $150,000 in income for single filers and $300,000 for joint filers, according to Fidelity.
The 2025 law did not remove tax on Social Security benefits outright. Instead it created a temporary deduction for taxpayers aged 65 and over, according to FinanceBuzz. Trump first floated ending tax on Social Security in a Truth Social post in July 2024, then repeated the pledge covering tips, overtime and Social Security in his address to Congress in March 2025, FinanceBuzz reported.
The tax relief Trump is now describing would add to a run of deficit-widening steps taken this month, including a repeal of the estate tax and a push for biofuel subsidies. None of the measures has been tied by other reporting to Federal Reserve policy or to the government's borrowing plans, so no direct link to long-dated Treasury yields is established. The clearer pattern is political: tax relief aimed at tipped and overtime workers, seniors and farmers, including biofuel mandates and diesel relief, stacking into a consistent pitch to the same voters ahead of the midterms.
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