MEMORANDUM
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To:
From:
Date:
Subject:
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AMFA Members
Rob Cush, Director of Government Affairs
December 18, 2025
No Tax on Overtime Provision & RLA Employee Coverage |
AMFA continues to monitor the implementation of the new “No Tax on Overtime” provision included in Public Law 119-21, the One Big Beautiful Bill Act. As currently written, the Railway Labor Act (RLA)–covered employees are not included in this tax benefit.
Rep. Nicole Malliotakis (R-NY-11) is actively working on legislation, H.R. 5475, the No Tax on Overtime for All Workers Act, to ensure that RLA-covered employees are added to the existing law. AMFA Government Affairs met with her on December 10th to discuss this issue and thank her for her leadership and continued efforts on behalf of our members.
In addition, AMFA has heard the IRS may issue a one-time exception that would allow RLA employees to receive the overtime tax credit for the 2025 tax year, even before legislation is finalized. AMFA has formally asked multiple congressional offices to seek clarification from the IRS and is now awaiting an official response. At this time, we do not have confirmation from the IRS.
We will share updates as soon as additional information becomes available.
Sincerely,
Rob Cush
Director of Government Affairs
