HR5475119th CongressWALLET

No Tax on Overtime for All Workers Act

Sponsored By: Representative Malliotakis, Nicole [R-NY-11]

Introduced

Summary

Would make certain overtime pay tax-deductible by expanding the tax code's definition of "qualified overtime compensation." The change targets overtime required under the Fair Labor Standards Act and overtime set by pre-work agreements, including those covered by the Railway Labor Act.

Show full summary
  • Workers: Workers who earn overtime required by the Fair Labor Standards Act or under pre-arranged agreements would have that pay classified as "qualified overtime compensation" for tax rules. Some agreements must specify a standard workweek not less than 40 hours.
  • Employers: Employers would be able to deduct that defined overtime compensation under the Internal Revenue Code provision the bill changes.
  • Timing and funding: The rule would apply to tax years beginning after December 31, 2024, and the bill contains no sunset and no new mandatory funding.

Your PRIA Score

Score Hidden

Personalized for You

How does this bill affect your finances?

Sign up for a PRIA Policy Scan to see your personalized alignment score for this bill and every other piece of legislation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.

Free to start

Bill Overview

Analyzed Economic Effects

1 provisions identified: 1 benefits, 0 costs, 0 mixed.

Lower taxes on workers' overtime pay

This bill would let employees deduct qualified overtime pay from taxable income. Qualified overtime would include Fair Labor Standards Act overtime above your regular rate. It would also include extra pay above your regular rate under a written agreement made before the work. The agreement must set a standard of at least 40 hours in a 7-day period. For airline and railroad workers under the Railway Labor Act, extra hours beyond scheduled or agreed limits would count. This would apply to tax years starting after December 31, 2024, and the text sets no dollar cap.

Sponsors & CoSponsors

Sponsor

Malliotakis, Nicole [R-NY-11]

NY • R

Cosponsors

  • Rep. Sykes, Emilia Strong [D-OH-13]

    OH • D

    Sponsored 9/18/2025

  • LaLota

    NY • R

    Sponsored 9/18/2025

  • Rep. Suozzi, Thomas R. [D-NY-3]

    NY • D

    Sponsored 9/18/2025

  • Rep. Fitzpatrick, Brian K. [R-PA-1]

    PA • R

    Sponsored 9/18/2025

  • Rep. Horsford, Steven [D-NV-4]

    NV • D

    Sponsored 9/18/2025

  • Bresnahan

    PA • R

    Sponsored 9/26/2025

  • Rep. Lawler, Michael [R-NY-17]

    NY • R

    Sponsored 9/26/2025

  • Elfreth

    MD • D

    Sponsored 10/3/2025

  • Rep. Bacon, Don [R-NE-2]

    NE • R

    Sponsored 10/3/2025

  • Rep. Vindman, Eugene Simon [D-VA-7]

    VA • D

    Sponsored 10/3/2025

  • Kean

    NJ • R

    Sponsored 10/3/2025

  • Rep. Deluzio, Christopher R. [D-PA-17]

    PA • D

    Sponsored 10/3/2025

  • Riley (NY)

    NY • D

    Sponsored 10/3/2025

  • Rep. Mackenzie, Ryan [R-PA-7]

    PA • R

    Sponsored 10/6/2025

  • Rep. Dingell, Debbie [D-MI-6]

    MI • D

    Sponsored 10/6/2025

  • Rep. Smith, Christopher H. [R-NJ-4]

    NJ • R

    Sponsored 11/20/2025

  • Budzinski

    IL • D

    Sponsored 11/20/2025

  • Kennedy (NY)

    NY • D

    Sponsored 12/5/2025

  • Edwards

    NC • R

    Sponsored 12/5/2025

  • Rep. Garbarino, Andrew R. [R-NY-2]

    NY • R

    Sponsored 2/4/2026

  • Rep. Neguse, Joe [D-CO-2]

    CO • D

    Sponsored 2/4/2026

  • Rep. Kiggans, Jennifer A. [R-VA-2]

    VA • R

    Sponsored 2/9/2026

  • Rep. Boyle, Brendan F. [D-PA-2]

    PA • D

    Sponsored 2/9/2026

  • Rep. Cammack, Kat [R-FL-3]

    FL • R

    Sponsored 2/12/2026

  • Rep. Waters, Maxine [D-CA-43]

    CA • D

    Sponsored 2/20/2026

  • Stauber

    MN • R

    Sponsored 2/20/2026

  • Rep. Miller, Max L. [R-OH-7]

    OH • R

    Sponsored 3/4/2026

  • Rep. Garamendi, John [D-CA-8]

    CA • D

    Sponsored 3/4/2026

  • Salazar

    FL • R

    Sponsored 3/12/2026

  • Rep. Gillen, Laura [D-NY-4]

    NY • D

    Sponsored 3/12/2026

  • Schmidt

    KS • R

    Sponsored 3/16/2026

  • Levin

    CA • D

    Sponsored 3/16/2026

  • Langworthy

    NY • R

    Sponsored 3/25/2026

  • Rep. Tokuda, Jill N. [D-HI-2]

    HI • D

    Sponsored 3/25/2026

  • Rep. McCaul, Michael T. [R-TX-10]

    TX • R

    Sponsored 3/30/2026

  • Rep. Magaziner, Seth [D-RI-2]

    RI • D

    Sponsored 3/30/2026

  • Rep. Rulli, Michael A. [R-OH-6]

    OH • R

    Sponsored 4/13/2026

  • Mrvan

    IN • D

    Sponsored 4/13/2026

  • Bost

    IL • R

    Sponsored 4/16/2026

  • Del. Norton, Eleanor Holmes [D-DC-At Large]

    DC • D

    Sponsored 4/16/2026

  • Rep. Wagner, Ann [R-MO-2]

    MO • R

    Sponsored 4/22/2026

  • Rep. Lynch, Stephen F. [D-MA-8]

    MA • D

    Sponsored 4/22/2026

  • Rep. Gimenez, Carlos A. [R-FL-28]

    FL • R

    Sponsored 5/12/2026

  • Rep. Hoyle, Val T. [D-OR-4]

    OR • D

    Sponsored 5/12/2026

  • McBride

    DE • D

    Sponsored 5/12/2026

Roll Call Votes

No roll call votes available for this bill.

View on Congress.gov
Back to Legislation