U.S. Sen. Tommy Tuberville (R-Auburn) is introducing legislation to pass a bill that would create a tax deduction for overtime wages up to $10,000 for individuals and $20,000 for married couples.
Sounds like a great idea. It actually sounds familiar. Where have we seen this before?
Tuberville was with U.S. Senator Roger Marshall (R-Kans.) in announcing the Overtime Wages Tax Relief Act. Along with no tax on tips and no tax on social security, this is something that President Donald Trump campaigned on.
“President Trump campaigned and won on a promise to cut taxes for millions of Americans working overtime—and we are delivering on that promise,” Tuberville said. “Thousands of Alabamians put in way more than 40 hours a week in order to save for retirement, put their kids through college, and keep the trains running. They should not be punished with higher taxes for working longer hours.”
RELATED: Alabama lawmakers weigh future of overtime tax exemption as deadline nears
Tuberville doesn’t just give credit to Trump for the idea, though. He praises the Alabama Legislature for inspiring the bill.
“Alabama was the first state to pass overtime tax exemptions, and I am hopeful that the federal government will follow suit,” he said. “I’m proud to join Senators Marshall, Ricketts, and Justice in helping deliver on this critical piece of President Trump’s agenda, which will put American workers first.”
Thousands of Alabamians put in more than 40 hours a week at their jobs. They should not be punished with higher taxes for working longer hours.
Alabama was the first state to pass overtime tax exemptions, and I hope the federal government will follow suit. pic.twitter.com/b2TQc9fbv0
— Coach Tommy Tuberville (@SenTuberville) May 6, 2025
That’s right. This was passed on the state level in Alabama in 2023.
You can excuse me for forgetting about it — because as the 2025 legislative session winds down this week — it turns out GOP state lawmakers have also forgotten about it as the overtime pay tax cut will expire at the end of 2025.
Sounds like a very conservative idea. It gives more money to hard working tax payers while also fueling economic growth. It also seems to have the support of Tuberville and Trump. So why hasn’t the extension been passed?
What’s even more incredible is the lawmaker making the best conservative argument to get this done is the Democratic Minority Leader in the House.
“I think that’s why the president talked about it when he was running for office,” House Minority Leader Anthony Daniels (D-Huntsville) said earlier this year, “and talked about how you know when economists said that by doing this it’s going to explode the economy and increase profit margins like you’ve never seen before and make people more happy to go the extra mile and it provides for them and their families.”
RELATED: Alabama House passes $192 million in tax cuts, relief reaches ‘just about everyone’
Yes, there are some on both sides of the aisle who are worried about the loss of revenue to the Education Trust Fund (ETF) because of the tax cut. But many of them aren’t taking into account the real harm to the state’s economic growth and productivity by allowing taxes to go up on hard working Alabamians. There was time this session to work something out.
If Republicans in the Alabama Legislature really support Trump and Tuberville like they openly say all the time, then this should’ve been a no-brainer. Republicans should never be responsible for raising taxes on hard working wage earners in the Yellowhammer State.
But now, it’s too late.
Hopefully, Sen. Tuberville’s bill gets to President Trump’s desk.
Yaffee is a contributing writer to Yellowhammer News and hosts “The Yaffee Program” weekdays 9-11 a.m. on WVNN. You can follow him on Twitter @Yaffee
