House Republicans move to block DC from halting Trump’s tax cuts for tipped workers
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The House of Representatives passed a bill on Wednesday that aims to block Washington, DC’s local government from blocking parts of President Donald Trump’s new tax law.
DC’s progressive city council passed a local measure to stop certain parts of Trump’s “One Big Beautiful Bill Act” from taking effect because of their expected effect of reducing city revenue.
The policies that would have been blocked include Trump’s elimination of taxes on tipped wages and overtime, as well as some tax cuts targeted at businesses.
This law was led by Rep. Brandon Gill, R-Texas, told Fox News Digital that he did not expect any Democrats to support his bill.
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President Donald Trump signs the sweeping spending and tax bill, known as the “Two Best Act,” during a picnic with military families to celebrate Independence Day, at the White House in Washington, DC, on July 4, 2025. (Ken Cedeno/Reuters)
“Republicans want more money in the hands and pockets of working families, and Democrats want that money in the hands of the government,” Gill said.
The DC government generally conforms to much of the state’s tax code, just like the state itself.
But according to local officials, including Del. Eleanor Holmes Norton, DD.C. no vote, passing Trump’s comprehensive tax bill would cost the city $600 million in revenue.
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Rep. Brandon Gill, R-Texas, leaves the House Republican Conference caucus meeting at the Capitol in Washington, May 6, 2025. (Bill Clark/CQ Roll Call, Inc. via Getty Images)
“This decision amounts to an unprecedented and deliberate destruction of DC,” Norton said in a statement.
But Republicans, including Gill, argue that progressive capital officials are blocking Trump’s signature legislation for political reasons at the expense of residents.
“Whenever we passed that tax law, we expected Washington, DC to go along with those tax provisions. And unfortunately, they decided they were going to try to get rid of them,” Gill said.
Del. Eleanor Holmes Norton, DC, is seen during a House Transportation and Infrastructure subcommittee hearing in Washington, DC, July 23, 2025. (Graeme Sloan/Bloomberg via Getty Images)
“So to give you a few examples, you have no tax on tips, you have no tax on social security, you have no tax on overtime pay, a variety of growth, pro-business tax provisions that they’ve decided they want to split between. So what we’re saying is, we think that’s bad policy on DC’s part, and we’re going to stop them.”
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Congress has the power to override many local laws imposed by DC because of the District of Columbia Home Rule Act of 1973.
If passed by the House and Senate, however, the Republican bill would complicate tax season for DC residents who have already started filing their annual returns.
