To provide for reconciliation pursuant to title II of H. Con. Res. 14, section 70201, Sec. 70201.
Written by .
The deduction may not exceed $25,000 a year
The document says “shall not”Who acts: Secretary of the TreasuryHow: statuteSec. 70201 in the PDF
What the document says
“The amount allowed as a deduction under this section for any taxable year shall not exceed $25,000.”
The section caps the deduction at $25,000 for a taxable year.
What the document actually says
“The amount allowed as a deduction under this section for any taxable year shall not exceed $25,000.”
That sentence, in plain words
The deduction may not top $25,000. That is the cap for one tax year.
What this is about
Tips above that get no break. The cap does not grow with prices. It is fixed in the law.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Provide for reconciliation pursuant to title II of H. Con. Res. 14, Public Law 119-21, sec. 70201, 139 Stat. 170 (2025). https://www.govinfo.gov/content/pkg/PLAW-119publ21/html/PLAW-119publ21.htm
This page
“The deduction may not exceed $25,000 a year,” Provide for reconciliation pursuant to title II of H. Con. Res. 14, section 70201, Sec. 70201. Read the Mandate, https://readthemandate.org/pl-119-21/proposal/sec70201-cap/ (retrieved October 10, 2026).
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