Did I hear right? Trump wants to drop income taxes on tips?

Great idea!

I tend to think of a tip as a reward or incentive for being treated well. And unless I'm having a deductible business meal the $$ I'm paying as a tip is being paid with money I already pay income taxes on, so if I leave a $2 tip, both me and the person that I'm tipping are being taxed on that $2, and one of us being taxed for that $2 should be enough.

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exchrist · 31-35

Idk if they drop this tax where will it be made up for? If trump pays his back taxes maybe.

Heartlander · 80-89, M

@exchrist The tax is already paid by the person who leaves the tip. For he government to repeatedly tax every step-down dollar where there is no offsetting expense is like adding lead weight to a helium filled balloon.

exchrist · 31-35

I agree its just government is so indebted bc of ongoing war the money needs to come from somewhere. Id hope they tax the wealthy more. Taxing minimum wage earners more isnt going to make much difference

samueltyler2 · 80-89, M

@Heartlander you do realize the restaurant has already paid taxes on the raw products. Under your explanation that would be cut.

JollyRoger · 70-79, M

@Heartlander So right on! It was just a few days ago that I calculated that although I pay approx 30% in Federal and Provincial taxes (I'm Canadian), that with 5% more for "Goods and Services Tax" (supposedly on imported items but NOT) and another 10% on Provincial Sales taxes on all goods except medical and food items, and then including property taxes and taxes on fuel,that I get to keep about 45% of the total amount of the money I earn. TIPS FOR GOOD SERVICE SHOULD BE TAX FREE!