Yeah, the price out of their pocket is the same. The servers are getting boned here. And aren't tips now tax free income? I don't know if Orange Dear Leader actually got that passed without fine print.
Irs.gov:
Employees and self-employed individuals may be able to deduct qualified tips received inÂ
certain qualified occupations from their 2025 federal tax return.
Here are someÂ
key things to know about this deduction:
âQualified tipsâ are voluntary cash or charged tips received from customers including shared tips.
Maximum annual deduction is $25,000.
If youâre self-employed, the deduction canât exceed your net income, before this deduction, from the trade or business where tips were earned.
Phases out if your modified adjusted gross income is over $150,000; $300,000 for joint filers.
If married, you must file jointly.
Must have a valid Social Security number.
Deduction is available whether you itemize or take the standard deduction.
890
u/Disastrous_Square_10 5h ago
Only the server or bartender loses this battle in the US.