
Ohio Lawmaker Pushes Bill to Eliminate State Taxes on Tips for Service Workers
Columbus, OH – An Ohio lawmaker is taking steps to increase take-home pay for service workers. State Rep. Brian Lorenz (R-Powell) has introduced House Bill 209, legislation that would eliminate state, municipal, and school district income taxes on tips earned by tipped employees.
The bill is gaining attention across Ohio, especially in Columbus, where workers like Isabella Chalfant, a barista at Little Cat Coffee and a former college server in Cincinnati, say tips are vital.
“Tips were my main source of income during school. I relied on them to afford essentials,” Chalfant shared.
Rep. Lorenz, who once worked in the restaurant industry, says the bill reflects the financial reality of tipped workers. “They are paid below minimum wage. They live off their tips,” he said after testifying to the Ohio House Ways and Means Committee.
In Ohio, the tipped minimum wage is currently $5.35 per hour, while the standard minimum wage is $10.70.
Not everyone is on board. Rep. Derrick Hall (D-Akron) questioned how accurately tips are reported. Governor Mike DeWine raised concerns about lost tax revenue and its effect on public services and schools.
Still, many in the service industry hope the bill passes.
“If we could keep all the tips we earn, it would make a huge difference,” Chalfant added.
The debate continues as House Bill 209 gains traction—raising broader questions about tax reform, worker compensation, and economic equity in Ohio.