Elizabeth Jarvis-Shean, Chief Corporate Affairs Officer of DoorDash, said in a LinkedIn post that the "No Tax on Tips" campaign aims to support individuals like Maliki, a mother of three in Florida, who depend on delivery earnings for essential expenses.
"Maliki, a mother of three in Florida who runs a small business and delivers with DoorDash to help cover her son's diabetes care," said Jarvis-Shean, according to LinkedIn. "Or Joe, a retired dad and grandfather in Wisconsin who started making deliveries to help pay for his kids' college expenses and stay ahead of rising living costs."
The "No Tax on Tips" initiative is part of a broader legislative effort to exempt tipped income from federal taxation. Initially aimed at traditional service workers, companies such as DoorDash and Uber are advocating for the inclusion of gig workers, like delivery drivers, in this exemption. According to The Wall Street Journal, these companies argue that their drivers rely heavily on tips and should receive the same tax relief as traditional employees.
A 2021 survey by the Pew Research Center found that 16% of Americans have earned money through an online gig platform. Among these gig workers, 58% reported that the income was essential or important for meeting basic needs. This highlights the financial reliance many have on gig work and underscores the impact of tax policies on their livelihoods.
The House Ways and Means Committee's proposed tax legislation includes a provision allowing independent contractors—such as drivers, couriers, and beauty professionals—to deduct qualified tips from their taxable income. This deduction applies to tips reported on Forms 1099-K, 1099-NEC, or 4317 and is available for tax years 2025 through 2028. However, eligibility is limited to individuals earning less than $160,000 annually and working in occupations traditionally receiving tips before 2025.
Kristin Sharp, CEO of the Flex Association, expressed strong support for the "No Tax on Tips" legislation. She said: "On behalf of the app-based industry and its 7.3 million independent workers, we thank Chairman Smith and the Ways & Means Committee for including app-based earners in the proposed 'No Tax on Tips' initiative." Sharp added that it is important to recognize the contributions of app-based workers and strengthen opportunities within the digital workforce.
According to her LinkedIn profile, Jarvis-Shean currently serves as Chief Corporate Affairs Officer at DoorDash. She leads global strategy across communications, public policy, sustainability, and social impact. She joined DoorDash in 2019 and has held multiple senior roles before being promoted to her current position in October 2024.