Because these deductions reduce your taxable income, they're the most beneficial for people in the highest tax brackets. A $1,000 deduction from income is effectively worth $100 to someone in the 10% tax bracket. The same deduction is worth $350 to someone in the 35% bracket.

Congress passed the tax cut and spending megabill with President Trump's legislative priorities which includes new tax exemptions for tipped hourly workers. But how will it work?

Republicans are working to gather enough support to begin debate on U.S. President Donald Trump's sweeping tax and spending bill, which was passed by the Senate.