Thursday, September 11, 2025
The following is a statement The Georgetowner received from Erika Polmar, the Executive Director of the Independent Restaurant Coalition, on President Trump’s dinner at Joe’s Seafood in D.C. this week:
“The President’s first dinner out in Washington, D.C. shouldn’t be his last. It’s never been more important for the Administration to recognize the important role restaurants and bars play in communities across the country. The reality on the ground is tough. Reservations are down nationwide, costs remain high, and too many independent restaurants are operating on razor-thin margins. That’s why we’re working with the administration to ensure the new No Tax on Tips policy is implemented fairly and includes tax relief for everyone, including back-of-house employees and those who are compensated by service charges. Independent restaurants and bars are one of America’s largest employers and sustain thousands more jobs in farms, wineries, linen companies, florists, and supply distributors nationwide. There is more work to do, and we hope the Administration continues to listen to independent restaurants and bars as they enact policies to ensure people are working, paid fairly, and can grow their businesses.”
More than 600 business owners and restaurant workers affiliated with the Independent Restaurant Coalition (IRC) sent a letter to Congressional leadership urging changes to the “No Tax on Tips” provision in the budget reconciliation package. Economists are raising concerns about the No Tax on Tips proposal. A report from the Economic Policy Institute argues the proposal would incentivize employers across industries to prompt for tips and reclassify workers to avoid paying minimum wage. The Congressional Budget Office projects that the No Tax on Tips proposal could increase the deficit by $40 billion through 2028. The Yale Budget Lab warns that “a tax break that favors one form of income over others creates opportunities for tax avoidance,” noting the true cost of the legislation will be hard to predict.
Founded in 2020 during the COVID-19 pandemic, the Independent Restaurant Coalition (IRC) emerged to advocate for the survival and long-term success of independent restaurants and bars across the United States. This coalition has played a vital role in securing economic relief and shaping policies to support the independent restaurant community, which forms the backbone of America’s food culture and economy. The IRC is committed to building a brighter future for independent restaurateurs, their employees, and the communities they support.